Article 5. No trade association shall engage in any one (1) of the following Items:
1. Controlling or attempting to control production or distribution by any means, including allocation of raw materials or orders, formulating or submitting plans or programs to the Government for the allocation of raw materials, goods or facilities;
2. Participating in or undertaking any contract or agreement the contents of which include such matters as coming under any one (1) of the Items of Paragraph 1 of Article 4 or any one (1) of the Items of Paragraph 1 of Article 6 of the Antimonopoly Law;
3. Participating in or undertaking any contract or understanding which unduly restrains trade or controls prices, or which will have the effect thereof, between the constituent entrepreneurs, such an entrepreneurs and his suppliers of commodities, funds and other economic benefits or his customers, or between such an entrepreneur and his competitors;
4. Controlling or fixing prices or under-taking any action for the purpose of affecting prices by any means, including dissemination of information concerning future prices, terms and conditions of sale, or customer classification;
5. Restricting or attempting to restrict the present or future number of entrepreneurs in any particular field;
6. Giving favor or causing disadvantage to a specific entrepreneur or entrepreneurs by disseminating lists of approved or preferred entrepreneurs, lists for blacklisting or boycotting any entrepreneur, information misrepresenting the business or financial or credit standing of any entrepreneur, or by any other means;
7. Compulsorily requiring the constituent entrepreneurs to submit reports on sales, prices, terms, orders, inventories, production, plant capacities, or business accounts, activities or facilites;or advising on, inspecting, or investigating the business affairs of the constituent entrepreneurs without their consent;
8. Restricting or attempting to restrict the functions or activities of the constituent entrepreneurs;
9. Owning or operating business facilities, or owning stocks (including partnership shares;hereinafter the same shall apply) or debentures;
10. Owning or operating facilities for carrying our research in any field of natural science;provided that the foregoing shall not apply whenever the Fair Trade Commission has approved the ownership or operation thereof;
11. Owning or controlling patents, or providing facilities of other services for the licensing or pooling of patents;
12. Making loans to the constitutent entrepreneurs or others;
13. Engaging in business in any field including buying, selling, producing, manufacturing, processing, handling, warehousing, transporting or distributing;
14. Acting as agent in business transactions or becoming a party to business contracts on behalf of the constituent entrepreneurs or others;
15. Collecting accounts for the constituent entrepreneurs, or others;
16. Arbitrating or settling disputes between the constituent entrepreneurs or others, or attempting to control the name;provided that the foregoing shall not apply to such as permitted by Item 8 of Paragraph 1 of Article 4;
17. Unduly influencing legislation or government policy;
18. Participating in, regulating, or affecting bids for government or private orders by acting as a depository, or otherwise.
The Fair Trade Commission shall, in case it receives an application for approval in accordance with the proviso to Item 10 of Paragraph 1, grant such approval whenever the applying trade association meets with the following conditions:
1. Membership or participation in the trade association is open to entrepreneurs generally throughout the industry on such fair and non-discriminatory terms as will actually make participation or membership therein reasonably available and within the means of such entrepreneurs generally who wish to join;
2. The constituent entrepreneurs of the trade association shall not consist only of a relatively few dominant or leading competitors in the industry nor shall voting and association activities, or the benefits resulting from the ownership and operation of natural science research facilities, be controlled by such dominant or leading competitors;
3. The benefits flowing from the ownership and operation of such research facilities shall be available to the constituent entrepreneurs of the trade association, regardless of the number of shares held, the amount of financial contributions, or the size of the entrepreneur.
As to any matter coming under Item 10 of Paragraph 1 (excluding the proviso), the Holding Company Liquidation Commission may, pursuant to a final order or a modification thereof issued in accordance with the provisions of the Elimination of Excessive Economic Concentrations Law (Law No.207 of 1947), make reasonable exceptions from the conditions set forth in each of the items of the preceding paragraph for such period of time as shall be prescribed in its order. Such a final order or modification thereof issued pursuant to the provisions of the Elimination of Excessive Economic Concentrations Law whose contents include any matter coming under Item 10 of Paragraph 1 shall constitute the approval required by the proviso to said Item.