Bundeskartellamt imposes fines for illegal price fixing

Manufacturers are allowed to make non-binding price recommendation, but they cannot issue merchants with price specifications. Otherwise, they are in breach of antitrust law.

Manufacturers are allowed to make non-binding price recommendation, but they cannot issue merchants with price specifications. Otherwise, they are in breach of antitrust law.

GRP Rainer Lawyers and Tax Advisors in Cologne, Berlin, Bonn, Düsseldorf, Frankfurt, Hamburg, Munich, Stuttgart and London conclude: Manufacturers in various sectors constantly try to issue merchants with price specifications. However, this is detrimental to consumers because it restricts competition among merchants and results in products not being offered at lower prices. Violations of antitrust law and competition law stemming from vertical price-fixing arrangements can prove to be expensive.

This became apparent to five furniture manufacturers, against which the Bundeskartellamt, Germany"s Federal Cartel Office, initiated proceedings that have since been concluded. The Cartel Office issued fines against the companies and four responsible managers amounting to a total of around 4.4 million euros on account of illegal price-fixing agreements.

Merchants had complained about price specifications and the Bundeskartellamt subsequently opened proceedings in June of 2014. In the course of this, the competition watchdog came across vertical price-fixing arrangements. Minimum prices and so-called "discount corridors" (Rabattkorridore) were to be strictly observed in relation to consumers. It was said that the fines imposed could have been higher if the cartel members had not cooperated with the Bundeskartellamt, thus making it impossible to reach an amicable conclusion to the proceedings.

Violations of antitrust law, e.g. due to price-fixing agreements, can be met with severe penalties. These can go beyond mere fines, with the companies concerned potentially facing damages claims and criminal repercussions. Senior managers can also be held liable.

Having said that, violations of antitrust law or competition law are by no means always clearly intentional. Infringements can sometimes occur unwittingly, for example because individual contractual clauses contravene existing laws. The consequences may nevertheless be severe. It is therefore advisable to have agreements examined by competent lawyers, including with a view to any implications under antitrust law. Appropriate legal advice is also called for if violations of antitrust law or competition law have already occurred and claims need to be seen off or enforced.

https://www.grprainer.com/en/legal-advice/antitrust-law.html (https://www.grprainer.com/en/legal-advice/antitrust-law.html)


Kontakt
GRP Rainer LLP
Michael Rainer
Augustinerstraße 10
50667 Cologne
+49 221-27 22 75-0
+49 221-27 22 75-24
info@grprainer.com
http://www.grprainer.com/en


Contact Details

Company Name: GRP Rainer LLP
Issued By: Michael Rainer
Phone: +49 221-27 22 75-0
Address: Augustinerstraße 10
City: Cologne
State: Nordrhein-Westfalen
Zip: 50667
Country: Germany
Website: Visit the website

Keywords : Lawyer, Lawyers, Attorney,

by Michael Rainer (few years ago!)

Latest Press Releases

The Mad Hatter Now Offer a Full Line of Hearth Products and Full Line of Grills

Diabetes Insulin Delivery Pens Market Research Report 2018

Dr Kapadia Provides Tips to Patients Interested in Hair Transplant Procedures

love vashikaran specialist

Solar Blanket Sales Market Report 2018

Spring Bottled Water Market Insights, Forecast to 2025

Biochemical Incubator Sales Market Report 2018

Quinine Sulphate Sales Market Report 2018

Automotive Chassisc System Market Insights, Forecast to 2025

2,6-Dicarboxypyridine market size in key regions like North America, Europe, Asia Pacific an..

Remove this press release ?

Due to extra work required to remove the press-releases we have started charging $1.99 for press release removal.

Your press release will be removed in 24 hours, once the payment has been received.

Search Press Release
e.g. Business, Computer, etc.