Canada - Michaels to pay $3.5 M penalty to settle frames and custom framing services price advertising case

Michaels of Canada, ULC has agreed to pay a $3.5 million administrative monetary penalty and to establish a corporate compliance program following a Competition Bureau investigation into price advertising for custom and select ready-made framing.

The Bureau concluded that Michaels did not ensure that the frames were offered for sale in good faith prior to promoting them at substantial discounts. The Competition Act contains provisions that ensure that when advertisers promote products at sale prices, consumers are not enticed by reference to inflated regular prices.

Read the press release.