Competition Bureau obtains court order to advance investigation into Dufresne Furniture’s marketing practices

From: Competition Bureau Canada

News release

November 22, 2022 – GATINEAU, QC – Competition Bureau

The Competition Bureau has obtained a court order to advance its inquiry into The Dufresne Group, Inc. and its affiliates, which operate through the retail banners Dufresne Furniture and Appliances and certain Ashley Furniture HomeStores in Canada.

The Bureau is looking to determine if their marketing practices raise concerns under the civil deceptive marketing provisions of the Competition Act. There is no conclusion of wrongdoing at this time.

The Bureau’s investigation is looking into two types of alleged practices:

  • urgency cue claims related to the end dates of sales that may be false or misleading, and
  • potentially inflated regular prices used when making savings claims.

The order granted by the Federal Court of Canada on November 10, 2022, requires The Dufresne Group, Inc., and its affiliates (TDG Furniture, Inc., DFA Operations, Inc. and Furniture Investment Group, Inc.) to produce records and information relevant to the Bureau’s investigation.

Quick facts

  • Urgency cue claims such as “countdown clocks” and “limited time remaining” could be false or misleading if they create the impression that consumers must purchase a product quickly prior to the end of the promotion when in fact the promotion is renewed or replaced by another promotion.

  • The misleading advertising provisions of the Competition Act prohibit making any kind of false or misleading claim to promote a product, service or business interest.

  • The ordinary selling price provisions of the Competition Act aim to ensure that when products are promoted at sale prices, consumers are not misled by a reference to inflated regular prices.

  • The Bureau strongly encourages anyone who suspects that a company or individual is making deceptive marketing claims to report it by using our online complaint form.

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The Competition Bureau is an independent law enforcement agency that protects and promotes competition for the benefit of Canadian consumers and businesses. Competition drives lower prices and innovation while fueling economic growth.

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