I am not a lawyer, but I am a successful business owner and manager of a not small company.
IMO, it goes beyond Conflict of Interest.
How stupid can a business be to allow such a rigged set-up, na pa-guisa ito sa sariling mantika? lols
Na hindi mo kaano ano, it has no vested interest in that supplier business, eh this is the set up put up by a paid employee? lols
Let us talk of the basics of profitable business operations, 1 of which is efficient purchasing/sourcing of requirements.
Basically, a business aims for a fair canvass from its short-listed suppliers and from major importers/retailers/wholesalers.
It is not always the lowest priced supplier that gains the order, there are other considerations.
Yang manalo all the time as the lowest bidder ang company ng SIL mo -- that happens only in the government, lols.
The fact that your SIL is in charge of solicitation of prices/the canvassing of prices -- that works against the best interest of the company. .
Eventually, suppliers advantageous to your company will stop providing quotations since it is a waste of time, and as FAYE TEA revealed: a supplier does not want its pricing scheme, offers/terms used as a pattern or even, just revealed to a competitor.
Eventually, because (excuse me ha, no offense meant), greed, este ambition pala -- is a very human urge -- your SIL may fabricate suppliers with fabricated high prices so that even if her hubby's company quotes the lowest prices, eh mataas pa rin than going prices in the market. Yan, double guisa na sa sariling mantika ang company.
For me, ako lang naman, who am I but 1 business owner/manager -- this is not conflict of interest.
This is a betrayal of trust.
This is a case of Estafa/deceit I will file against your SIL and you (the more the merrier eh) & whoever did not squeal on her in that purchasing dept.