Competition Bureau reaches deal with Empire to end grocer’s use of property controls

The Competition Bureau says it has reached a deal with Empire Co. Ltd. EMP-A-T regarding its use of property controls, formalizing commitments made by the grocer earlier this year.

Empire is the parent company of multiple grocery banners, including Sobeys, Safeway, IGA, Foodland and FreshCo.

Under a consent agreement registered with the Competition Tribunal, the regulator says Empire will no longer use or enforce land restrictions that prevent a property from being used to operate or lease to certain types of businesses.

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Empire will also limit its use of exclusivity clauses, which prohibit landlords from leasing space to another tenant that competes with an existing tenant.

The regulator says the commitments will be legally binding and enforceable.

The Competition Bureau says property controls in the grocery sector can reduce competition in local markets across Canada.