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Unfair Competition: Difference between revisions
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#Whenever the newcomer is permitted to enter the market, he is prohibited to compete in an unfair manner, such as by selling below cost.<ref>Pitchei Choshen Hilchot Geneva ViHona’a 9:3, Aruch Hashulchan 156:11, Erech Shai 228:18. Rav Moshe Feinstein (Iggerot Moshe Y.D. 3:134) says that if the original store is overcharging, it is not a problem to open a new store and charge the proper (lower) price. </ref> | #Whenever the newcomer is permitted to enter the market, he is prohibited to compete in an unfair manner, such as by selling below cost.<ref>Pitchei Choshen Hilchot Geneva ViHona’a 9:3, Aruch Hashulchan 156:11, Erech Shai 228:18. Rav Moshe Feinstein (Iggerot Moshe Y.D. 3:134) says that if the original store is overcharging, it is not a problem to open a new store and charge the proper (lower) price. </ref> | ||
#If there is a specific day that is reserved for people to come and shop there, nobody can prevent anyone else from opening.<ref>Shulchan Aruch C.M. 156:7 based on Bava Basra 22a about Yom HaShuk. Rashi explains that on this day people come from all over, so the residents of the city don't have priority. [http://www.workplacehalacha.com/category/choshen-mishpat/hasagas-gevul-unfair-competition/ Rabbi Wasserman] applied this same concept to areas like the diamond district as well.</ref> | #If there is a specific day that is reserved for people to come and shop there, nobody can prevent anyone else from opening.<ref>Shulchan Aruch C.M. 156:7 based on Bava Basra 22a about Yom HaShuk. Rashi explains that on this day people come from all over, so the residents of the city don't have priority. [http://www.workplacehalacha.com/category/choshen-mishpat/hasagas-gevul-unfair-competition/ Rabbi Wasserman] applied this same concept to areas like the diamond district as well.</ref> | ||
#As a customer, some say that one should not buy from an establishment that opened when it was forbidden to do so.<ref>Shut Maharik Shoresh 187. Pitchei Choshen Hilchot Geneva ViHona’a 9:1 quoting from Shut Harama 10</ref> Others argue that once the store is open, a consumer may purchase at either establishment.<ref>Shut Nachalah L'Yehoshua 29</ref> | |||
#Store owners cannot agree to forgo these laws and allow unfair competition.<ref>Pitchei Choshen Hilchot Geneva ViHona’a 9:1 quoting from Shut Chavot Yair Siman 163 that cannot agree to violate this prohibition just like by lending/borrowing with interest or going to secular court</ref> | |||
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