SECTION 1. – Sales at a loss.
Art. 40. It is prohibited for any merchant to offer for sale or to sell a product at a loss.
A sale at a loss is considered to be any sale at a price which is not at least equal to the price at which the product was invoiced during supply or at which it would be invoiced in the event of replenishment.
Any sale which, taking into account these prices as well as overheads, provides only an extremely low profit margin is considered to be a sale at a loss.
To assess the normal or exceptionally reduced nature of the profit margin, account will be taken in particular of the volume of sales and the turnover of stocks.
For the products or categories of products that He designates, offered for sale or sold to the consumer, and for a maximum period of six months, the King, by decree deliberated in the Council of Ministers, may set the minimum commercial margin, below which a sale will be considered a loss-making sale.
Before proposing an order in application of the preceding paragraph, the Minister consults the Commission for the regulation of prices and fixes the time limit within which the opinion must be given. After this period, the notice is no longer required.
Art. 41 § 1. The prohibition provided for in Article 40 is not, however, applicable:
a) for products sold in liquidation;
b) for products sold on sale;
(c) with a view to selling products liable to deteriorate rapidly and whose conservation can no longer be guaranteed;
d) for products specially offered for sale in order to meet a momentary consumer need, when the event or the fleeting enthusiasm which is at the origin of this need has passed, if it is clear that these products can no longer be sold on normal commercial terms;
(e) for products the commercial value of which is profoundly reduced by reason of their deterioration, a reduction in the possibilities of use or a fundamental change in technology;
f) when the price of the product is aligned, because of the necessities of competition, with that generally practiced by
§ 2. The contractual clauses prohibiting the sale at a loss are not opposable to the one who sells the product in the case provided for in § 1, c).
They are not opposable either in the other cases considered if the one who sells has notified the manufacturer or, failing this, the supplier of the product, by registered letter, of his intention to sell at a loss, as well as the price that he intends to charge and if, within fifteen working days of this notification, the person named above has not notified the person who sells, by the same channel, an offer to take back the products in cause at the prices indicated in the notification.