For the source text click/tap here: Bava Metzia 49
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The Mishna discusses the details of ona’ah – a sale that is not at a fair price. The Sages says that unfair selling is defined at a difference of a sixth in the price (e.g., 4 coins out of 24), and one may return an item on such a sale until the time it would take to show it to a merchant or relative.
Rabbi Tarfon says the difference is a third (e.g., 8 coins out of 24). When the merchants of Lod heard this, they were happy, since it allowed them a larger margin above the fair price. However, when Rabbi Tarfon told them that he also allowed a day for the buyer to return the item, they went back to following the Sages’ opinion.
We review the halachot of unfair business practices.