Trade Associations: Competition Law Advocates or Offenders?

Trade Associations: Competition Law Advocates or Offenders?

For centuries, trade associations throughout the world have played a critical role representing businesses, providing services such as lobbying governments, conducting research and providing various forms of assistance to their members. This chapter argues that trade associations must widen these historic functions. Trade associations are in a special position not only to help educate small and medium-sized enterprises (SMEs) about competition law compliance, but also to assist them in utilizing the rules to their advantage. Their precise role will vary depending on the age and sophistication of the competition regime. In jurisdictions that have recently adopted competition statutes, such as Malaysia and Singapore, trade associations are still often breaching the law, so the focus must be on educating themselves and their members on compliance. In more experienced regimes such as the United Kingdom and Australia, trade associations can bring representative actions or make applications for exemptions on behalf of their members. The question of whether trade associations are resourced to fulfil this widened role is also considered.