No person, partnership, corporation or association engaged in any business or trade in this Commonwealth shall by any method or procedure, directly or indirectly, by itself or through a subsidiary agency, sell or procure for sale or have in its possession or under its control for sale to its employes or to any other person any article, material, product or merchandise of whatever nature, not of his or its own production, not handled in his or its regular course of trade or business, or not connected with or related to his or its trade or business: Provided, That this section shall not apply to the sale or distribution of (1) meals, candy, beverages, cigarettes, cigars, tobacco, (2) tools and material used or worn by employes in such trade or business or appliances and products which are used and worn by employes and are or may be beneficial to the safety, health and working conditions of such employes, (3) equipment or machinery which has previously been used by such person, partnership, corporation or association in the conduct of his or its business, or (4) goods of use in the furtherance of his or its trade or business, or connected therewith or related thereto: And provided further, That the provisions of this act shall not apply to co-operative associations organized under the laws of this Commonwealth: And provided further, That nothing herein contained shall be construed to prohibit or prevent any person, firm or corporation engaged in any industry other than a retail business or trade from owning and operating, either directly by itself, or through any agency or subsidiary, a bona fide store or stores for the sale of goods at retail to his or its employes and others under the provisions of this section.
The doing of any of the acts as prohibited above shall constitute unfair competition to any retail store operator or owner dealing in the same kind, type, nature or class of merchandise as that so sold as aforesaid within the same city or county in which such above prohibited sale occurs.
43 P.S. § 942