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Chapter III Trade Associations

Article 8

A trade association must not engage in any act which falls under any of the following items:

(i) substantially restraining competition in any particular field of trade

(ii) entering into an international agreement or an international contract as provided in Article 6

(iii) limiting the present or future number of enterprise in any particular field of business

(iv) unjustly restricting the functions or activities of the constituent enterprise (meaning an enterprise who is a member of the trade association; the same applies hereinafter)

(v) inducing an enterprise to employ such an act as falls under unfair trade practices

Article 8-2

(1) Whenever an act in violation of the provisions of the preceding Article occurs, the Fair Trade Commission may, pursuant to the procedures provided for in Section 2 of Chapter VIII, order the relevant trade association to cease and desist the relevant act, to dissolve, or to take any other measures necessary to eliminate the relevant act.

(2) The provisions of Article 7, paragraph (2) apply mutatis mutandis to any act in violation of the provisions of the preceding Article.

(3) Whenever the Fair Trade Commission orders a trade association to take measures provided in Article 7, paragraphs (1) or (2), as applied mutatis mutandis pursuant to the preceding paragraph, if the Fair Trade Commission finds it to be particularly necessary, it may, pursuant to the procedures as provided in Section 2 of Chapter VIII, order an officer, manager or constituent enterprise (including the relevant enterprise if an officer, employee, agent or any other person acting for the benefit of an enterprise is a constituent enterprise; the same applies in Article 26, paragraph (1)) of the relevant association to also take measures necessary to ensure the measures provided in Article 7, paragraphs (1) or (2), as applied mutatis mutandis pursuant to the preceding paragraph.

Article 8-3

The provisions of Article 7-2, paragraphs (1), (3), (5) and (6) (excluding proviso), (10) to (18) inclusive (excluding paragraph (13), items (ii) and (iii)), and paragraphs (22), (23), and (27) apply mutatis mutandis to cases in which an act is committed in violation of the provisions of Article 8, item (i) (limited to when an act is committed that constitutes an unreasonable restraint of trade) or item (ii) thereof (limited when an international agreement or an international contract is concluded that contains matters constituting unreasonable restraint of trade). In this case, in Article 7-2, paragraph (1), the term "enterprise" is deemed to be replaced with "trade association"; and the term "order the relevant enterprise" is deemed to be replaced with "order the constituent enterprise of the relevant trade association (including the relevant enterprise if an officer, employee, agent or any other person acting for the benefit of an enterprise is a constituent enterprise; hereinafter referred to as a "Specified Enterprise" in this Article)"; in paragraph (5) of the same Article, the term "enterprise" is deemed to be replaced with "Specified Enterprise"; in the main clause of paragraph (6) of the same Article, the term "enterprise" is deemed to be replaced with "Specified Enterprise"; the term "had discontinued the relevant violation (limited to when the Period of implementation for the violation is less than two years)" is deemed to be replaced with "had discontinued the business activities that constituted the relevant violation (limited to when the Period of implementation of the business activities that constituted the relevant violation is less than two years)"; in paragraph (10) of the same Article, the term "enterprise to pay" is deemed to be replaced with "Specified Enterprise to pay," the term "relevant enterprise" is deemed to be replaced with "relevant Specified Enterprise"; the term "enterprise who committed the relevant violation" is deemed to be replaced with "Specified Enterprise of the trade association that committed the relevant violation"; and the term "has not committed" is deemed to be replaced with "has not effected the business activities that constituted"; in paragraph (11) of the same Article, the term "enterprise" is deemed to be replaced with "Specified Enterprise"; the term "paragraphs (5) to (9) inclusive" is deemed to be replaced with "paragraph (5) or (6)"; the term "enterprise who committed the relevant violation" is deemed to be replaced with "Specified Enterprise of the trade association that committed the relevant violation"; and the term "has not committed" is deemed to be replaced with "has not effected the business activities that constituted"; in paragraph (12) of the same Article, the term "enterprise who committed the relevant violation" is deemed to be replaced with "Specified Enterprise of the trade association that committed the relevant violation"; the term "or (5) to (9) inclusive" is deemed to be replaced with "(5) or (6)"; and the term "has not committed" is deemed to be replaced with "has not effected the business activities that constituted"; in paragraph (13) of the same Article excluding the items thereof, the term "the enterprises who have committed a violation as provided in paragraph (1)" is deemed to be replaced with "Specified Enterprises of the trade association that committed an act in violation of the provisions of item (i) (limited to when an act is committed that falls under unreasonable restraint of trade) or item (ii) (limited to when an international agreement or an international contract is entered into containing such matters as fall under unreasonable restraint of trade) of the following Article," the term "two or more of the enterprises" is deemed to be replaced with "two or more of the Specified Enterprises," the term "fall under item (i) below and either item (ii) or (iii) below" is deemed to be replaced with "fall under item (i) below," the term "the number of enterprises who have submitted" is deemed to be replaced with "the number of Specified Enterprises who have submitted," and the term "an enterprise" is deemed to be replaced with "a Specified Enterprise"; in item (i) of the same paragraph, the term "two or more enterprises" is deemed to be replaced with "two or more Specified Enterprises," and the term "the relevant enterprise" is deemed to be replaced with "the relevant Specified Enterprise"; in paragraphs (15) and (16) of the same Article, the term "enterprise" is deemed to be replaced with "Specified Enterprise"; in paragraph (17) of the same Article, the term "enterprises who submitted" is deemed to be replaced with "Specified Enterprises who submitted," the term "the relevant enterprise (if the enterprise is" is deemed to be replaced with "the relevant Specified Enterprise (if the Specified Enterprise is," the term "one or more of the relevant enterprises" is deemed to be replaced with "one or more of the relevant Specified Enterprises," the term "jointly with the relevant enterprise" is deemed to be replaced with "jointly with the relevant Specified Enterprise," the term "other enterprises" is deemed to be replaced with "other Specified Enterprises," the term "one or more of the relevant enterprises and other enterprises" is deemed to be replaced with "one or more of the relevant Specified Enterprises and other Specified Enterprises," the term "committed by the relevant enterprise" is deemed to be replaced with "committed by the relevant trade association," the term "if the relevant enterprise" is deemed to be replaced with "if the relevant Specified Enterprise," the term "an enterprise other than" is deemed to be replaced with "a Specified Enterprise other than," the term "commit the violation provided in paragraph (1)" is deemed to be replaced with "effect the business activities that constituted the relevant violation," and the term "discontinuing" is deemed to be replaced with "discontinuing the business activities that constituted"; in paragraph (18) of the same Article, the term "enterprise" is deemed to be replaced with "Specified Enterprise"; and the term "violation committed" is deemed to be replaced with "report submitted pursuant to the provisions of item (i) of the same paragraph"; in paragraph (22) of the same Article, the term "paragraph (1) or (4)" is deemed to be replaced with "paragraph (1)," the term "paragraphs (1), (4) to (9) inclusive" is deemed to be replaced with "the same paragraph or paragraphs (5), (6)," and the term "(12), or (19)" is deemed to be replaced with "or (12)"; in paragraph (23) of the same Article, the term "(4) to (9) inclusive" is deemed to be replaced with "(5), (6)," and the term "(12), or (19)" is deemed to be replaced with "or (12)"; and in the paragraph (27) of the same Article, the term "the Period of implementation (or since the end of the Violation Period, which is applicable to a violation stipulated in paragraph (4))" is deemed to be replaced with "the Period of implementation."



Japan Fair Trade Commission:

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Tel: +81-3-3581-1998
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