ACCC proposes to grant conditional authorisation for resale price maintenance for the first time

Key Points:

The ACCC's assessment of applications for authorisation of resale price maintenance will depend heavily on the circumstances of each case and the balance between public benefits and detriments.

Until now, suppliers have been prohibited from setting minimum resale prices that downstream wholesalers or retailers can charge consumers.

In its consideration of the first application to set minimum resale prices under current legislation, the ACCC has indicated that it might authorise such conduct if it is satisfied that the potential public benefits will outweigh the public detriment.

However, the ACCC's focus on the unique circumstances of this application make it unlikely for authorised resale price maintenance to be within the grasp of many suppliers.