Winter is fast approaching, which means that it's now time to start thinking about your snow removal contract.
You may struggle to find more than one provider servicing your area, while looking for a new snow removal business. Most of the time, there are legitimate operational reasons and limitations for this such as labour shortages that can reduce the options in your neighbourhood.
But some snow removal companies could be walking on thin ice if they are discussing the streets they plan on covering with competitors or the price they'll be charging to consumers.
Such agreements between competitors are illegal. They reduce competition, resulting in higher prices and fewer choices for consumers.
Recognize illegal agreements
Illegal practices between businesses can involve agreements to:
- fix prices, including any increases or added surcharges;
- divide up territories, streets or neighbourhoods, and;
- limit the number of customers they sign up.
Report collusion
You can play a key role to help put a stop to illegal agreements between snow removal businesses by reporting them to the Competition Bureau.
- Report concerns: If you suspect illegal agreements between snow removal companies, report them to the Competition Bureau.
- Whistleblower initiative: Employees with knowledge of anti-competitive agreements can also provide information through the Bureau's whistleblowing initiative, and their identities will be kept secret.
- Immunity and Leniency programs: Parties that engaged in anticompetitive activity can come forward to seek immunity or leniency in return for their cooperation with Bureau investigations.
