Entire Section

  • Buying or selling of consumer goods or services

    • 14A.97

      A listed issuer's group buying consumer goods or services as a customer from, or selling consumer goods or services to, a connected person on normal commercial terms or better in its ordinary and usual course of business is fully exempt if it meets the following conditions:

      (1) the goods or services must be of a type ordinarily supplied for private use or consumption;
      (2) they must be for the buyer's own consumption or use, and not be:
      (a) processed into the buyer's products, or for resale; or
      (b) used by the buyer for any of its businesses or contemplated businesses. This condition does not apply if the listed issuer's group is the buyer and there is an open market and transparency in the pricing of the goods or services;
      (3) they must be consumed or used by the buyer in the same state as when they were bought; and
      (4) the transaction must be made on no more favourable terms to the connected person, or no less favourable terms to the listed issuer's group, than those available from independent third parties.

      Note: Examples of consumer goods and services are:
      (1) Meals consumed by a director at a restaurant owned by the listed issuer's group.
      (2) A director buying groceries for his own use at a retail store operated by the listed issuer's group.
      (3) Utilities provided by the listed issuer's group to a director's apartment.
      (4) Utilities provided by a connected person to the listed issuer's group where the prices are published or publicly quoted and apply to other independent consumers.