Court Documents Reveal the Origins of the Competition Bureau’s Investigation into Leon’s and the Brick

November 25, 2024 TruthUSA

Court documents are providing insight into the Competition Bureau’s investigation of Leon’s Furniture Ltd. and its subsidiary The Brick Warehouse LP.

The bureau filed an application to obtain a court order compelling the companies to hand over documents related to pricing and marketing practices.

Specifically, they are interested in how prices are determined and altered, as well as the planning and execution of marketing strategies. The bureau identified instances where the companies did not offer products at regular prices for significant periods.

For example, the bureau discovered that an LG electric range with an air fryer was advertised on sale on The Brick’s website, but it was never actually sold at the regular price stated by the chain in the previous six months.

Additionally, the bureau is investigating cases where the companies may have made misleading statements about the end dates of promotions. In one instance involving an LG stainless steel fridge, Leon’s allegedly extended or followed up on time-limited promotions with additional sales 38 times.

When asked about the bureau’s actions, Leon’s and The Brick directed inquiries to a previous statement where they affirmed their commitment to compliance with regulations and cooperation with the investigation.