Competition Law
CONTACT THE CLERKS
St Pauls Barristers can advise on:
- Joint agreements which may include sales,
- Advertising,
- Purchasing or research to ensure that the welfare of the customer is priority and the agreements do not lead to a breach of obligations by your business.
This area of law and procedure is complex, and we would encourage seeking assistance at an early stage to ensure the best possible advice can be obtained for you or your company.
What is Competition Law?
Competition law ensures that businesses compete with each other fairly. In the UK, breaches of competition law can result in fines and potential criminal sanctions for individuals.
The secretary of State for Business, Innovation and Skills sets the overall policy framework for competition. UK competition cases are dealt with by a number of different Acts and Regulations. The Competition Act 1998 introduces two main prohibitions; prohibition of anti–competitive agreements and a prohibition of abuse of a dominant position in a market. It also targets issues arising from public sector or utility procurement and sector regulation. The Enterprise Act 2002 includes a merger of competition and regulatory work.
Cartel activity is prohibited by UK competition law. These arrangements are normally between at least two competing organisations, designed to reduce competition between them, thereby increasing prices/profit beyond the level that could be achieved competitively. You may hear this referred to more generally as bid/tender rigging, price fixing, allocation of particular market shares or exchange of confidential information. Failure to prohibit such practices would lead to higher prices and a loss of customer’s free choice.
It is crucial to be aware about forms of co-operation with other companies or organisations that could lead to a breach of competition regulations.
