Beginning 1 April, supermarkets and grocery wholesalers Food and Grocery Code of Conduct took effect.
The new code spells out rules for negotiations and contracts between suppliers and retailers, including requirements for written agreements as well as stipulations about acting lawfully and in good faith. There are also rules preventing retailers from retribution if suppliers exercise their rights under the code—with large penalties if the code is contravened. The changes make the code mandatory for retailers and wholesalers who earned over $5m from supermarket or wholesaling businesses in the previous financial year.
Under the Code the ACCC can issue infringement notices and take court action seeking penalties against businesses that contravene the code.
0 Comments