Business and Professions Code section 17030

“Loss leader” means any article or product sold at less than cost:

(a)

Where the purpose is to induce, promote or encourage the purchase of other merchandise; or

(b)

Where the effect is a tendency or capacity to mislead or deceive purchasers or prospective purchasers; or

(c)

Where the effect is to divert trade from or otherwise injure competitors.

Source: Section 17030, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=BPC§ionNum=17030.­ (updated Jan. 1, 1941; accessed Jun. 16, 2025).

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Verified:
Jun. 16, 2025

§ 17030's source at ca​.gov