Block exemption meaning

This Checklist highlights the key matters to consider when preparing new Research and Development (R&D) agreements, or revising existing R&D agreements, to determine whether they fall within the block exemption available under the Competition Act 1998 (Research and Development Agreements Block Exemption) Order 2022 (UK R&D BEO), SI 2022/1271. It is not a full guide to the UK R&D BEO, but is intended for situations where a commercial lawyer wishes to be confident that an R&D agreement sits within the UK R&D BEO and aligns with the CMA Guidance on Horizontal Agreements (2023 Horizontal Guidance). Introduction to the UK R&D BEO Any agreement that influences trade or restricts competition in the UK may fall under the prohibition on anti-competitive agreements in Chapter I of the Competition Act 1998 (CA 1998) (the Chapter I prohibition)...

This Checklist can be used to evaluate compliance of vertical agreements with EU competition law, notably under the Vertical Block Exemption Regulation 2022/720 (VBER 2022). For analysis of the VBER 2022, see further, Introduction to the application of Article 101 TFEU to vertical agreements and The Vertical Block Exemption Regulation 2022/720 Framework for assessment When applying EU law to vertical agreements, it is necessary to consider: The competition rules under Article 101 TFEU: Whether the agreement is captured by Article 101(1) TFEU at all (although, in practice, the VBER 2022—and other block exemptions—may often be considered before Article 101 TFEU). Whether the agreement restricts competition at all (this is frequently overlooked)—some categories of agreement may not be restrictive of competition. Also, agency will fall outside Article 101 TFEU where there is a genuine agency situation (exercise caution, as restrictions in an agency agreement may still fall foul of Article 101 TFEU)...

This Checklist summarises the key considerations when preparing new vertical agreements, or revising existing ones, to determine whether they benefit from the block exemption in The Competition Act 1998 (Vertical Agreements Block Exemption) Order 2022, SI 2022/516 (UK VABEO). It is not a full exposition of UK VABEO, but a tool for commercial lawyers to check that a vertical arrangement falls within UK VABEO (together with any accompanying guidance). For more detail, refer to: CMA Guidance: UK VABEO. A flowchart appears at the end of this Checklist, outlining the principal steps for assessing whether an agreement is covered by UK VABEO. Introduction to UK VABEO Agreements that affect trade and limit competition in the UK may fall within the prohibition on anti-competitive agreements contained in Chapter I of the Competition Act 1998 (CA 1998)...

FORTHCOMING CHANGES : Several reforms are anticipated across the leasehold and enfranchisement sphere—see Practice Note: Property key future developments tracker for further details. This Flowchart is intended for use when a tenant pursues enfranchisement or seeks a lease extension of a house under the Leasehold Reform Act 1967 (LRA 1967). It outlines the procedure from the service of a tenant’s notice of claim, incorporating a landlord’s notice in reply, through to making applications to the First-tier Tribunal (FTT) (or the Leasehold Valuation Tribunal (LVT) in Wales) and/or the County Court, as appropriate, according to the issue in dispute...

In this issue: UK mergers UK antitrust UK Competition policy EU antitrust EU State aid EU Digital Markets Act Daily and weekly news alerts New and updated content Caselex UK mergers CMA unconditionally clears Boparan/ForFarmers (Burston and Radstock mills) merger after phase 2 The CMA has published the final report from its phase 2 review of the proposed purchase by Boparan Private Office Limited, via 2 Agriculture Limited (2Agriculture), of ForFarmers UK Limited’s Burston and Radstock feed mills. ForFarmers is a European producer and distributor of animal feed, with its base in the Netherlands. 2Agriculture, part of the Boparan group, is among the UK’s largest poultry feed suppliers by production volume, directing output to Hook 2 Sisters, a Boparan-affiliated business, and to farmers on the open market. Confirming its provisional findings of 18 February 2025, the CMA concluded the deal is not expected to result in an SLC in local meat poultry feed supply,...

In this issue: UK mergers UK antitrust UK subsidy control UK competition policy EU antitrust EU mergers EU State aid EU market studies New and updated content Daily and weekly news alerts Caselex UK mergers Government consults on further changes to the draft Enterprise Act 2002 (Mergers Involving Newspaper Enterprises and Foreign Powers) (No 2) Regulations The Department for Culture, Media and Sport (DCMS) has published a consultation on proposed further amendments to the Enterprise Act 2002 (Mergers Involving Newspaper Enterprises and Foreign Powers) Regulations 2025 (the Regulations). Through changes to the Enterprise Act 2002, the Digital Markets, Competition and Consumers Act 2024 introduced a foreign state intervention (FSI) regime for newspapers and periodic news magazines, preventing foreign state ownership, control, or influence over these publications. The Regulations carry forward the government’s decision to provide narrow exemptions to the FSI framework. Under the proposals, defined state-owned investors (SOIs) could hold up to...

In this issue: Advertising, marketing and sponsorship Agency and distribution Consumer protection Contracts Contractual joint ventures International Daily and weekly news alerts Dates for your diary Trackers New and updated content Advertising, marketing and sponsorship ASA rulings—19 March 2025 A single complaint was made to the Advertising Standards Authority (ASA) about Haven Leisure Ltd’s claims on holiday pricing. The ASA upheld the complaint. See: LNB News 19/03/2025 11. Agency and distribution Recovery Partners GP Ltd v Rukhadze [2025] UKSC 10 The Supreme Court dismissed the appellants’ appeal against an order to account for profits earned in breach of duty; they were employees of the respondent companies and owed fiduciary duties. The court affirmed strict adherence to the fiduciary ‘no profit’ rule, rejecting arguments for a ‘but for’ causation test and for counterfactual enquiries into whether the gains could have been authorised if consent had been sought. See: Recovery Partners GP...

This Practice Note This Practice Note describes how sustainability agreements are assessed at present. It first indicates when sustainability initiatives and sustainability standardisation arrangements fall within Article 101 TFEU, as interpreted in the updated Horizontal Guidelines issued. It then recaps what the revised Horizontal Guidelines say about the circumstances and methods for justifying sustainability agreements under Article 101(3) TFEU in practice. Finally, it adds context by outlining recent national developments in this field also. Regulation (EU) No 1217/2010, the Research and Development Block Exemption Regulation (R&D BER 2010), and Regulation (EU) No 1218/2010, the Specialisation Block Exemption Regulation (SBER 2010)—collectively termed the Horizontal Block Exemption Regulations (HBERs)—together with the Guidelines on the Applicability of Article 101 TFEU to Horizontal Co-operation Agreements (Horizontal Guidelines), lapsed on 30 June 2023. As background, on 1 March 2022 the European Commission opened a public consultation, inviting interested stakeholders to submit views on drafts of the revised HBERs and on a draft revised Guidelines on the Applicability of Article 101 TFEU to Horizontal...

Introduction Block exemption regimes provide widely applicable safe harbours from the EU prohibition on anticompetitive agreements as set out in Article 101(1) TFEU, so long as the arrangement satisfies the requirements of the relevant block exemption. Each such instrument rests on the presumption that any restrictive deal within its compass fulfils the four criteria in Article 101(3) TFEU that are needed for an individual exemption from the application of Article 101(1) TFEU (see further, Article 101(1) TFEU—the prohibition on restrictive agreements and Individual exemptions under Article 101(3) TFEU). Accordingly, every block exemption establishes a safe harbour that shields restrictive arrangements from legal challenge under Article 101 TFEU. The former Specialisation Block Exemption Regulation (EU) 1218/2010 (SBER 2010), which expired on 30 June 2023, had been in force since 1 January 2011. Following a review process and consultation with stakeholders, the updated Specialisation Block Exemption Regulation (EU) 2023 (SBER 2023) entered into force on 1 July 2023. Specialisation agreements are most likely to contribute to improvements in manufacturing or the...

Introduction Block exemption rules offer broadly applicable safe harbours for agreements from the UK ban on anti-competitive agreements set out in Chapter I of the Competition Act 1998 (notably section 2), so long as the agreement satisfies the conditions of the relevant block exemption. Each such regime rests on the assumption that any restrictive deal within its ambit meets the four criteria in section 9 of the Competition Act 1998 required to obtain an individual exemption from section 2 (see also, Practice Note: Chapter I prohibition). As a result, a block exemption creates a safe harbour shielding restrictive arrangements from challenge under section 2 of the Competition Act 1998. Before 1 January 2023, research and development (R&D) agreements were covered by Retained Regulation (EU) 1217/2010, the Retained Research and Development Block Exemption Regulation (UK Retained R&D BER), which continued to apply in the UK as retained EU law after Brexit. The UK Retained R&D BER lapsed on 31 December 2022 and, from 1 January 2023, was superseded by (UK...

This Precedent slide deck has been created as a teaching aid you can use to give an overview to junior competition lawyers, non-competition lawyers, or commercial colleagues regarding the application of The Competition Act 1998 (Vertical Agreements Block Exemption) Order 2022 (UK VABEO) to distribution agreements...

This Precedent presentation has been created as a training resource that you can use to offer an overview to junior competition lawyers, non-competition lawyers, or commercial colleagues on the application of the EU Vertical Agreements Block Exemption 2022/720 (EU VBER) to distribution agreements...