Smart Sales Inc. is a big box retailer, specializing in consumer electronics. Smart Sales intends to advertise that it will “Match any competitor’s price on all Orange brand computers.” The fine print at the bottom of the ad states that the price match guarantee only applies to identical products offered for sale in Canada. Smart Sales has negotiated an exclusive distributor agreement with Orange, whereby Orange manufactures and sells three particular models of computer only to Smart Sales. 

These three models, which have slightly different combinations of features than other computer models that Orange sells to retailers other than Smart Sales, are the only models of Orange computers that Smart Sales offers for sale. As a result, Smart Sales never actually has to honor its price match guarantee, because there are no identical products offered for sale in Canada.

What legal issues are raised in regard to the exclusive distribution agreement between Smart Sales and Orange? In regard to Smart Sales’s promise to match competitors’ prices?