---
kind: "section"
citation: "16 C.F.R. § 317.3"
title: "16"
number: "317.3"
heading: "Prohibited practices."
url: "https://uscodex.org/cfr/16/317.3"
---

# §317.3. Prohibited practices.


It shall be unlawful for any person, directly or indirectly, in connection with the purchase or sale of crude oil, gasoline, or petroleum distillates at wholesale, to:

- (a) **Knowingly engage in any act, practice, or course of business—** including the making of any untrue statement of material fact—that operates or would operate as a fraud or deceit upon any person; or
- (b) Intentionally fail to state a material fact that under the circumstances renders a statement made by such person misleading, provided that such omission distorts or is likely to distort market conditions for any such product.

## Notes

### Authority

Authority: 42 U.S.C. 17301-17305; 15 U.S.C. 41-58.

### Source

Source: 74 FR 40701, Aug. 12, 2009, unless otherwise noted.