Communique regarding Practices not significantly restricting competition entered into force as published in Official Gazette dated 16.03.2021 and numbered 31425. Competition Authority has published a draft of the communiqué for public opinion on 23.10.2020 which introduced de minimis criterion to our competition practice. Our article regarding draft communiqué is accessible through a link: http://guzel.av.tr/in-turkish-competition-law-de-minimis-application-begins/
- In the draft communiqué, which is published on 23.10.2020 for public opinion, Competition Authority is entitled to open an investigation if it deems necessary even if the thresholds specified in the communiqué are not exceeded. On the other hand, communiqué entered into force on 16.03.2021 Competition Authority is not authorized with such power. Indeed as we emphasized in our article regarding draft de minimis communique, granting Competition Authority the power to open an investigation in situations where the thresholds are not exceeded may prejudice the purpose of de minimis criterion and to legal certainty. Competition Authority amended accordingly as such power which is foreseen in the draft communiqué is excluded in the communiqué entered into force.
- Another difference which communiqué in force introduced is to clarify the definition of clear and severe violations by broadening the definition. In the draft communiqué, clear and severe violations have been defined as price-fixing, customer or territory sharing, and supply restricting between competitors. On the other hand, communiqué in force defines the clear and severe violations as, “Agreements and/or concerted practice or decisions and practices of associations of undertakings that have as their purpose, caused or be capable of prevention, restriction or distortion of competition directly or indirectly in any product or service market;
1) Fixing price, sharing of the customer, provider, territory or trade channels, restriction of supply or imposition of quotas, concerted practice on tenders, sharing of information to be applied regarding price, production or sale amounts between competitors,
2) Determination of fixed or minimum sales prices by the buyer in the relationship between undertakings operating at a different level of production or distribution chain,
Thus certainty has been achieved, price-fixing on vertical relations has been included explicitly as well as horizontal relations.
Should you have any questions or inquiries we would be delighted to assist you.
Kind regards,
Güzel Law Office