In March 2004, the Competition Bureau received a complaint about misleading advertising of price savings used by a picture-framing retailer in the southern Ontario region. The complainant alleged that the retailer continuously promoted savings of 50% off the price of framing in the store overhead display, on a portable road-side sign, and through advertisements in local newspapers.  

Under the ordinary price selling provisions of the Competition Act, it is illegal for retailers to make regular price claims, directly or indirectly, without selling a substantial volume of the product or offering the product at that price or a higher price in good faith for a substantial amount of time.  

• After discussions with the Bureau, the retailer provided written assurance that any reference to price savings of 50% was removed from:
  store overhead displays
• portable road-side signs
• advertisements in newspapers and a local Yellow Pages directory.

This issue was resolved in February 2005.

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