Effective July 1, 2020

Rheem Canada Ltd. (“Rheem”) is a leading air conditioning and heating equipment (“HVAC”) company in Canada. Rheem takes pride in its HVAC products’ reputation for quality and performance, and believes it is important that any entity that resells the products (“Reseller”) commits a substantial amount of time and other resources to learn, understand, support, and promote Rheem products. Accordingly, Rheem has unilaterally implemented this Rheem Canada Minimum Advertised Price Policy (the “Policy”) to encourage Rheem‘s Resellers to invest the requisite time and energy into Rheem‘s products, to remain competitive in the marketplace, to protect Rheem‘s image and family of brands and to ensure that the prices at which Rheem‘s products are advertised reflect the value and quality of those products.

1. Scope of this Policy

The HVAC products to which this Policy applies (the “Products”) are listed on the document entitled “Rheem Canada MAP Policy Price List”, the current version of which can be found at My.Rheem/My.Ruud (the “MAP List”). This Policy applies to all forms of advertising in media and the promotion of the Products by Resellers, including but not limited to, flyers, posters, coupons, mailers, inserts, newspapers, magazines, catalogs, television, radio, print and Internet/online media (such as email newsletters, email solicitations, hypertext link, social networks, banner ads, retailer websites and third party websites) on fixed or mobile devices.

Please note that this Policy applies only to advertised prices and not to the price at which the Product is actually sold to an end customer. Resellers are free to decide independently whether to comply with this Policy and may sell the Products at any prices they choose. This Policy does not seek to control any Reseller‘s actual sales prices and applies only to the advertised prices of the Products.

This Policy does not constitute an agreement between any Reseller, Distributor (as defined below) or other party and Rheem. This Policy is administered unilaterally by Rheem, is non-negotiable and may not be modified by any person other than Rheem. All matters of formulation, interpretation and application of the terms of this Policy shall remain within the sole discretion of Rheem. Rheem does not seek consultation with any Reseller and Rheem will not negotiate with or enter into an agreement with any Reseller regarding this Policy or regarding the prices at which the Reseller will sell the Products. Please note that Rheem employees and representatives are not authorized to discuss any aspect of this Policy, including its meaning or interpretation. All inquiries regarding this Policy should be submitted in writing and directed to your local Rheem/Ruud Sales Manager.

Rheem may terminate, suspend or modify this Policy and/or the MAP List at any time in its sole discretion and without prior notice and Rheem will enforce this Policy in its sole discretion. It is each Reseller‘s responsibility to check My.Rheem/My.Ruud regularly so as to be aware of changes to this Policy or the MAP List, including without limitation changes to Products and minimum advertised prices.

2. Advertising Prices

It is a violation of this Policy for Resellers to advertise or otherwise promote the Products at a net price lower than the Rheem published minimum advertised price (the “MAP”) current at the time of the advertisement or promotion. Although Rheem is not directing any Reseller to require that its customers comply with this Policy, it is also a violation of this Policy for Resellers to sell the Products to any other person or entity that advertises or otherwise promotes the Products at a net price lower than the MAP.

Please note the following additional information about advertising and promotion of the Products:

• Resellers are free to advertise the Products at any price equal to or higher than the MAP.
• Resellers may advertise that customers may contact the Reseller to learn the actual sale price, using language such as “call for a price” or “email for a price”. For “call for a price” or “email for a price,” any response must be individualized and not an automated or auto-generated response.
• A price that can be seen on the Reseller‘s website by the user clicking on “add to shopping cart” or “click here to check out” functions of the website will not be considered by Rheem to be the advertised price and is therefore not covered by this Policy. However, website features such as “click for price”, automated “bounce-back” pricing e-mails, forms, and automatic price display for any items prior to being placed in a customer‘s shopping cart, and other similar features are considered to be communications initiated by the Reseller (rather than by the customer) and thereby constitute advertising under this Policy.
• When shown on the same promotion or advertisement for a Product (such as a webpage or email), promotional gift cards, instant rebates and other promotional activities that effectively lower the advertised price below the MAP are a violation of this Policy.
• Applicable taxes paid by the Reseller‘s customer will not be included as part of the MAP.
• If the Products are offered as part of a package or bundle of products, then the advertised price for the package or bundle cannot be lower than the sum of the MAPs of the Products included in the package or bundle. If products without MAPs are included in the bundle, the value allocated to each product without a MAP is the manufacturer‘s suggested retail price for that product, or, if not applicable, the advertised price prior to any discounts on that product.
• The following actions by a Reseller will not be deemed to lower the effective advertised price of a Product covered by this Policy:
  • Rheem-sponsored rebate programs;
  • Offering of free shipping; and
  • Offering of no-interest financing.

3. Enforcement of this Policy

Upon verification by Rheem to its satisfaction that the Reseller has advertised or otherwise promoted a Product at a net price less than its MAP, Rheem in its sole discretion will take the following actions:

1^st Violation — Written notice to the Reseller;

2^nd Violation — Written notice to the Reseller and Rheem will place the Reseller on a list of prohibited Resellers for a period of 30 days; and

3^rd Violation within a rolling 12-month period — Rheem will permanently place the Reseller on a list of prohibited Resellers.

Additionally, Rheem may unilaterally impose sanctions against authorized wholesale distributors of Rheem HVAC products (“Distributors”) who supply Products to a Reseller while that Reseller is on the list of prohibited Resellers. Such sanctions may include, in Rheem‘s sole discretion, a reduction of the Distributor‘s Growth Development Program monies to a temporary or permanent cessation of sales to the Distributor of product for online resale.

Rheem will independently and unilaterally monitor and enforce compliance with this Policy. Neither Distributors nor Resellers will be involved in monitoring or investigating any actions of other Resellers or Distributors, and no Resellers or Distributors have any rights to enforce this Policy.  

Communications between Rheem and its Resellers or Distributors concerning issues of this Policy shall be deemed to be strictly confidential and disclosure to third-parties is not permitted.

Unless specifically stated otherwise, use of the singular includes the plural and use of the plural includes the singular.

Rheem appreciates your compliance with this Policy and thanks you for your continued support of Rheem HVAC products.

Effective January 1, 2019

Rheem Canada Ltd. (“Rheem”) takes pride in its air conditioning and heating equipment (“HVAC”) products‘ reputation for quality and performance. In order to maintain Rheem‘s excellent reputation, Rheem believes it is important that resellers of Rheem‘s HVAC products commit a substantial amount of time and resources to learn, understand, support, and promote Rheem products. Resellers need to have a solid knowledge of Rheem and its products in order to explain and communicate product features, understand the importance of professional installation by a qualified and trained HVAC contractor, and be able to provide effective post-sales support. Since HVAC products are part of an applied system, Rheem continues to believe that in-person sales of Rheem products by contractors who are knowledgeable about Rheem products and their application is the preferred way to provide an excellent and satisfactory sales experience to the homeowner. That said, Rheem recognizes that e-commerce continues to grow in all sectors and that Rheem customers expect Rheem to participate in the online sales channel.

This Online Sales Policy (“Policy”) sets clear guidelines for the online sale of Rheem‘s HVAC products in a manner that will protect Rheem‘s reputation and provide a great experience for online customers. This Policy is issued unilaterally by Rheem, and all Resellers (as defined below) must comply with its requirements. Resellers that violate the terms of this Policy will be subject to the consequences detailed under the section entitled “4. Violations”, below. Rheem reserves the right to make changes to this Policy at any time and from time to time. This Policy will be kept and maintained on My.Rheem/My.Ruud and each Reseller is responsible for regularly reviewing the latest version of this Policy.

1. Who may sell Rheem HVAC products online?

Authorized wholesale distributors of Rheem HVAC products (“Distributors”) and their Permitted Online Resellers (as defined below), as well as authorized retailers (together, the “Resellers”) may sell the Online Eligible Products (as defined below). “Permitted Online Resellers” means online reseller customers of Distributors who meet the requirements of, and comply with, this Policy.

2. Which HVAC products may be sold online?

A current list of the HVAC product models that may be advertised for online sale, offered for online sale or sold online (the “Online Eligible Products”) is available and will be maintained at My.Rheem/My.Ruud. It is each Reseller‘s obligation to regularly monitor the list of Online Eligible Products and to ensure that its sales and promotion activities comply with this Policy. Online Eligible Products are not permitted to be resold on auction websites or on online marketplaces.

Please note that the online sale of any Rheem HVAC products other than the Online Eligible Products is prohibited. Notwithstanding the foregoing, Rheem reserves the right to modify the list of Online Eligible Products at any time and also to offer other Rheem HVAC products for online sale, directly or indirectly, through other programs.

The Policy does not prohibit general promotion of Rheem products other than Online Eligible Products when they are not offered for sale or sold online. The Policy does not prohibit Distributors from completing sales to their contractor customers of Rheem products other than Online Eligible Products on non-public e-commerce platforms.

3. Requirements

All Resellers must comply with these rules:

• Each Reseller must disclose to Rheem (by email sent to your local Rheem/Ruud Sales Manager) all URLs of the websites through which the Reseller sells and promotes Online Eligible Products (the “Selling Websites”). All new Selling Websites or changes to existing URLs must be reported within 5 business days after becoming active or being implemented.
• Each Reseller must in a conspicuous manner on each Selling Website:
  1. Provide a list of, or link to, qualified, trained and licensed (where licensing is required) HVAC installation professionals (“Qualified HVAC Installer”) in the online customer‘s geographic area or a link to the Rheem Dealer Locator website (rheem.com / www.ruud.com); and
  2. Clearly state that the manufacturer strongly recommends installation of the products by a Qualified HVAC Installer and that the manufacturer‘s Limited Warranty (as defined below) for Online Eligible Products will be voided if the equipment is not installed by a Qualified HVAC Installer.
• Each Reseller must provide each online customer with a clear and conspicuous notice of the Rheem limited warranties for the Online Eligible Products (“Limited Warranty”), including a copy of the applicable Limited Warranty or clear instructions on how to access the applicable Limited Warranty. Resellers must not misrepresent the terms of the Limited Warranty or provide any warranty information in a misleading manner or in violation of applicable law.
• Each Reseller must provide live support to online customers via telephone or online chat during normal business hours, being between 9:00 a.m. to 5:00 p.m. in the Reseller‘s time zone(s) where the Online Eligible Products are being sold.
• Resellers may not market, promote, sell or export the Online Eligible Products outside Canada.
• Each Reseller must fulfill orders for Online Eligible Products within 10 calendar days or less.
• Each Reseller must provide a secure online shopping cart and SSL certification for the complete online transaction with each online customer.
• Each Reseller may use only the current Rheem-authorized product images, marketing and service materials, and advertising copy for the Online Eligible Products, including current product titles, descriptions, model numbers, and technical data. Each Reseller must update its website within 5 business days of notice by Rheem of any changes to these product materials or information.
• In all activities relating to the Online Eligible Products, each Reseller must comply with all applicable federal, provincial, and local laws and regulations (including without limitation such laws and regulations that are applicable to HVAC equipment and its sale, installation and use), and observe the highest standards of professionalism, industry standards, ethics, and fair dealing. Resellers must not engage in any unlawful, unfair, misleading, or deceptive practices, including but not limited to, false advertising, aggressive sales tactics, or misrepresentation, exaggeration, or misstatement of product features, consumer benefits, or operational characteristics.
• Resellers must not engage in “bait and switch” practices, such as advertising products that are not available in sufficient quantities or not available at the stated price with the intent or effect of switching potential purchasers to another product.
• Resellers must not use the words “Rheem”, “Ruud”, “WeatherKing”, or any Rheem company or brand name or similar words within a root URL, email address, or any other identifier associated with the Reseller.
• Each Reseller must comply with Rheem‘s branding policies in all use of any Rheem brand name, logo, trademark, trade dress, or any other intellectual property.

4. Violations

Rheem has the right in its sole discretion to choose with whom it wishes to do business or not do business with. If a Reseller fails to comply with this Policy or any other Rheem policy, Rheem may choose to no longer do business with that Reseller and may revoke that Reseller‘s status as a Permitted Online Reseller. It is also a violation of this Policy for a Reseller to sell Online Eligible Products to a customer that offers, promotes, or sells any Rheem HVAC products via the Internet not in accordance with this Policy.

Consequences for a Reseller‘s violations of this Policy occurring within a rolling 12-month period include:

1^st Violation — Written notice to the Reseller;

2^nd Violation — Written notice to Reseller and Rheem will place Reseller on a list of prohibited Resellers for a period of 30 Days;

More than two violations – Rheem will immediately and permanently place the Reseller on a list of prohibited Resellers and will stop all sales of Online Eligible Products to the Reseller.

Additionally, Rheem may unilaterally impose sanctions against Distributors who supply Online Eligible Products to a Reseller while that Reseller is on the list of prohibited Resellers. Such sanctions may include, in Rheem‘s sole discretion, a reduction of the Distributor‘s Growth Development Program monies to a temporary or permanent cessation of sales to the Distributor of Online Eligible Products. Distributors may sell Online Eligible Products only to Permitted Online Resellers that are located in the Distributor‘s authorized territory.

This Policy does not constitute an agreement between any Reseller, Distributor or other party and Rheem. Rheem will independently and unilaterally monitor and enforce compliance with this Policy. Resellers will not be involved in monitoring or investigating any actions of other Resellers. Rheem reserves the right in its sole discretion to modify this Policy and/or the Online Eligible Products, as well as to discontinue or suspend the online resale of its products entirely at any time as it sees fit.

This Policy may be terminated, suspended or modified in whole or in part, from time to time and at any time, in Rheem‘s sole discretion and without prior notice.

5. Contact Information

All questions or comments regarding this Policy should be submitted in writing and directed to your local Rheem/Ruud Sales Manager. No Rheem employee or representative is authorized to discuss any Reseller‘s compliance or non-compliance with the Policy, or to waive any non-compliance. Rheem will enforce this Policy unilaterally and does not seek, and will not entertain, any complaints or reports about any Reseller‘s compliance with this Policy.

Communications between Rheem and its Resellers or Distributors concerning issues of this Policy shall be deemed to be strictly confidential and disclosure to third-parties is not permitted.

6. Other

Unless specifically stated otherwise, use of the singular includes the plural and use of the plural includes the singular.

Effective Aug 12, 2022

This document lists the current Products to which the Rheem Air Conditioning Division Internet Minimum Advertised Price Policy applies. Rheem reserves the right to remove, add or change Products, Model Numbers and MAP Prices listed here at its discretion without notice. It is the reseller’s responsibility to check the MAP Policy and this MAP List regularly for revisions.

Click here to download the latest Rheem MAP HVAC list.