Federal Competition Bureau fines crafts store Michaels $3.5 million

OTTAWA – Arts and crafts store Michaels of Canada has been fined $3.5 million after an investigation by the federal Competition Bureau into price advertising for custom and ready-made framing.

The competition bureau reviewed allegations that between January 2011 and December 2014, Michaels did not ensure that the frames were offered for sale in good faith before promoting them at discounts.

The bureau says Michaels co-operated in the investigation and has agreed to pay the penalty.

The federal agency says the company has also agreed to a 10-year consent agreement under which it will ensure that its price claims for all products will comply with the ordinary selling price provisions of the Competition Act.