Competition Law

• Advising on the competition law implications in relation to a pan-European contract relating to smart metres.
• Advising a well known brand with international presence on merger control requirements
• Advising a well-known international brand on competition law requirements (including with regards to VABE) in relation to its commercial contracts, including exclusivity arrangements.

There are potentially heavy fines for infringements along with many other repercussions. Offenders can be fined or directors can be disqualified. In certain instances offenders can be sent to prison. By reviewing your potential transaction or proposed contract we are able to advise you what your potential risk is regarding competition law breached. We will assist you in limiting your liability from a from a competition law perspective and as far as legally possible. Our aim is to provide you with as much protection as possible or flag what the worst-case scenario would look like.

Businesses often assume that they wont be subject to competition law investigations based on the size of the business but this is not true. There have been many instances of the CMA investigating local businesses for alleged competition law breaches. There are some “safe harbours” which do take into account market share of businesses but they don’t always apply and there are competition law breaches where market size is irrelevant. Therefore in many instances, businesses will not be too small to be caught.

Anti-competitive agreements – if you enter into an agreement which may affect trade within the UK which aims or effects the restriction, prevention or distortion of competition within the UK.

Abuse of market power – if you have a monopoly for the provision of a service in a local area for e.g. provision of a bus service and you abuse your market power by unfair pricing you may fall foul of the law.

Cartel offences – Two competing companies enter into dishonest agreements to fix prices or share markets or rig bids.

Mergers – In addition to the above, there is a separate regime which applies to mergers of businesses. A merger may be investigated if two or more enterprises “cease to be distinct” and the result is the creation or enhancement of a market share of 25% or more in the UK or substantial part of the UK or the enterprise being taken over has a 25% or more share of supply before the merger.