Small- and medium-sized businesses are eager for Competition Act amendments to pass so they can begin to challenge unfair practices by larger competitors and suppliers…
The Financial Post
March 7, 2002
Smaller firms eager for 'day in court'
Competition Act changes
Ian Jack
OTTAWA - Small- and medium-sized businesses are eager for Competition Act amendments to pass so they can begin to challenge unfair practices by larger competitors and suppliers, their lobby group says.
The amendments, before the Senate, will allow businesses and individuals to launch cases for the first time. Under the current law, only the Commissioner of Competition, a federal official, is allowed to challenge anti-competitive practices.
The Canadian Federation of Independent Business is promising a number of cases will soon follow passage of the amendments, expected this spring.
"There is pent-up, growing demand," Garth Whyte, senior vice-president of the federation, said in an interview. "It's a big issue for a lot of sectors. All they want is their day in court."
The battle over the amendments has pitted a big business coalition against consumer and small business groups. The Canadian Chamber of Commerce and others argued that allowing private access to the Competition Tribunal, in effect the country's competition court, would provoke nuisance suits from businesses hoping to tie up competitors. Proponents said Australia, New Zealand and the United States have similar measures and they work.
The amendment the government has accepted puts safeguards on the right to private access: There can be no finding of monetary damages, only an injunction, against a guilty party; complainants can be ordered to pay costs if the case is dismissed; and the tribunal can quickly dismiss cases it decides have no merit.
Mr. Whyte said in a recent survey of members half wanted access to the tribunal while only 17% said it is not necessary. One-third of those surveyed had no opinion.
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Risks: Abuse of dominant position, Canada: An unwise place to invest, Canada: white-collar crime haven, Opportunism: self-interest with deceit, Ontario, 20020307 Smaller firms
