COMPETITION ACT: INPUT SOUGHT ON DRAFT VERTICAL RESTRAINTS REGULATIONS

COMPETITION ACT: INPUT SOUGHT ON DRAFT VERTICAL RESTRAINTS REGULATIONS

• 03 June 2024
• Trade, Industry & Competition
• SA Legal Academy

Please note: On 19 July 2024, the department gazetted a notice apologising for an error in the contact information provided with the proposed new regulations – extending the deadline for input to 15 August 2024. 

The Department of Trade, Industry & Competition has called for input by 3 July 2024 on draft regulations under the Competition Act, 1998, dealing with restrictive vertical practices. The intention is to compile a ‘non-exhaustive list’ of factors relevant to the process of determining whether a vertical practice believed to restrict competition in fact falls under the Act’s section 5.

Among other things, the factors proposed include:

• the nature and duration of any restraint in an agreement
• the implications of implementing such a restraint
• the nature of the good or service subject to a restraint
• the individual market, market segment and geographic area shares of parties to an agreement
• competitive forces enjoyed by parties to a supply chain agreement
• barriers to market entry
• an agreement’s impact on small and medium businesses, as well as those owned by historically disadvantaged individuals
• parallel networks of similar vertical restraints among competitors
• vertical relationships in a franchise arrangement, and
• the ‘strength and importance’ of inter- and intra-brand competition.

Please click the link below for more information:

• draft regulations

Published by SA Legal Academy Policy Watch

Follow us on X @SALegalAcademy (you can also join us on LinkedIn and Facebook)

0 COMMENTS

LEAVE A COMMENT