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Bureau of Milk Marketing

Prohibited Transactions

The Massachusetts General Laws specify Certain Prohibited Transactions with milk in section 14 of Chapter 94A . The primary objective of prohibiting certain transactions with milk is to maintain orderly markets. Such prohibited transactions include the below cost sale of milk and price discrimination. A below cost sale of milk occurs when the price at which the milk is sold is below the cost of that milk where cost is defined in Section 1 of Chapter 94A.

Price discrimination occurs when different prices are charged by a milk dealer (defined in section 1 and includes retailers) to consumers of milk beyond due consideration for transportation costs, quantities, and types of milk. Couponing of milk by a milk dealer is a form of price discrimination. Exceptions to couponing are noted below.

Milk Control Laws: Prohibited Transactions
Exceptions to coupon prohibitions

For more information, contact Dr. William J. Gillmeister.

 
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