Competition Bureau asked to investigate LCBO-Beer Store deal
Toronto, ON – Restaurants Canada, the association representing 30,000 foodservice businesses in Canada, today announced it has filed an official request to the the government of Canada’s Competition Bureau to investigate a non-compete deal between the LCBO and the Beer Store, which garnered much public attention yesterday.
“We have known of the existence of an agreement for years, but we did not know the depth of the complicity. This agreement fixes prices, territories and products,” says James Rilett, Ontario Vice President for Restaurants Canada.
“Ontarians need a neutral third party to look into this secretive agreement,” says Rilett. “The Ed Clark panel had the opportunity to call closing time on this sweetheart deal, but decided the economics of the Beer Store were more important than the rights of small businesses.”
Restaurants Canada is also calling on the government to immediately cancel this non-compete agreement.
“The agreement can be terminated at any point, simply by giving six months’ notice. If the government were to cancel it today, Ontario consumers would be able to have better service and cheaper prices by the summer.”
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