Industry Minister Manley Signs Canada - U.S. Competition Policy Agreement

OTTAWA, August 3, 1995 — Industry Minister John Manley signed a new Canada-U.S. Competition Policy Agreement today on behalf of the Government of Canada. The Agreement was signed in Washington, D.C. by the U.S. Attorney General Janet Reno and the Chairman of the Federal Trade Commission Robert Pitofsky.

The Agreement establishes a framework for closer relations between Canada and the U.S. regarding the enforcement of their competition and deceptive marketing practices laws. It provides for improved and expanded notification, consultation and cooperation between the Bureau of Competition Policy in Canada and the Antitrust Division of the U.S. Department of Justice and the Federal Trade Commission. The new Agreement replaces the 1984 Canada - U.S. Memorandum of Understanding regarding the application of their competition laws.

"Effective enforcement of the Competition Act is essential to promoting Canada's economic welfare in today's global economy," the Minister said. "Increasing trade between Canada and the United States benefits Canadian consumers and businesses. Closer cooperation between our two countries' competition authorities is essential to ensure that cross-border anticompetitive activities do not impair those benefits."

Minister Manley noted that cooperation between the Bureau of Competition Policy and U.S. authorities during the past year has led to convictions under the price-fixing and misleading advertising provisions of the Competition Act. "Recent cases have clearly demonstrated the benefits of international enforcement cooperation. The new Agreement and the recently announced public consultations on amendments to the Competition Act are two important initiatives intended to enhance international enforcement cooperation."

The Minister also explained that the Agreement will facilitate the resolution of potential disputes arising from the enforcement each country's competition laws. The Agreement provides an improved framework for bilateral consultations and the avoidance of disputes when one country's competition law enforcement activities may affect the interests of the other.

For information call:
Eli Turk or Lisa Stilborn, Minister's Office
613-995-9001