What types of practices are prohibited by California’s unfair practices act?

Find the Right Lawyer for Your Legal Issue!

Fast, Free and Confidential

Find the Right Lawyer for Your Legal Issue!

Fast, Free and Confidential

The Unfair Practices Act forbids four specific pricing practices:

  • Sales below cost — sales of a product or service below the seller’s cost (including overhead) undertaken with the purpose of injuring competitors or destroying competition;
  • Loss leaders — sales of a product or service below the seller’s cost (including overhead) under certain circumstances (for example, to induce sales of a different product or service) undertaken with the purpose of injuring competitors or destroying competition;
  • Locality discrimination — charging different prices for the same product or service in different locations, with the intent to injure competitors or destroy competition; and
  • Secret rebates — secret payments of rebates or commissions to one customer but not another, where such payments injure a competitor and tend to destroy competition.

Find the Right Lawyer for Your Legal Issue!

Fast, Free and Confidential

Find the Right Lawyer for Your Legal Issue!

Fast, Free and Confidential