ACCC accepts court-enforceable undertakings from FUJIFILM

The Australian Competition and Consumer Commission has accepted court-enforceable undertakings from FUJIFILM Australia Pty Ltd (formerly Hanimex Pty Limited) and Peter Isherwood a former employee of Hanimex Pty Limited.

Hanimex made an application to the ACCC under its Co-operation Policy for Enforcement Matters in relation to conduct of Mr Isherwood that Hanimex was concerned may have involved Hanimex in contraventions of the resale price maintenance provisions of the Trade Practices Act 1974.

Resale price maintenance occurs when a supplier:

• attempts to induce a person not to sell the supplier’s products or services at less than a price specified by the supplier, or
• makes it known to a person that the supplier will not supply its products unless that person agrees not to sell below the supplier's specified price,or
• enters an agreement for the supply of goods or services containing a provision that the purchaser will not sell below the supplier’s specified price.

Mr Isherwood is alleged to have told a wholesale customer of Hanimex's to raise its prices of digital cameras advertised on the internet in line with Hanimex's trade price, which is recommended retail price.

Upon becoming aware of the conduct Hanimex retained external counsel to advise and assist in its investigation of the allegations and advise as to the likelihood of a breach of the Trade Practices Act.

Hanimex also informed its staff that it requires 100 per cent compliance with the Act and provided restitution on a without admissions basis to the wholesaler involved.

Hanimex has undertaken to the ACCC that it will:

• implement a trade practices compliance program
• write to all of its direct markets customers of digital cameras advising them that Hanimex does not seek to control the price at which resellers sell digital cameras and that resellers are free to sell digital cameras at any price they wish
• fully co-operate with and assist the ACCC in any legal proceedings the ACCC may commence against other persons alleged to have engaged in or been involved in the conduct.

Mr Isherwood has undertaken to the ACCC to undertake trade practices education and training by completing a trade practices compliance course.

"The satisfactory resolution of this matter through co-operation between Hanimex and the ACCC illustrates the benefits to a company of having strong compliance systems in place and taking pro active measures in resolving trade practices issues when they arise", ACCC Chairman, Mr Graeme Samuel, said today.