Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Block exemption definition

What does Block exemption mean? A block exemption is a competition law safe harbour that automatically exempts defined categories of agreements from the general ban on anti-competitive agreements, if specified conditions are met and no hardcore restrictions (for example, price fixing or certain territorial or customer allocation) are included. It is typically applied to vertical distribution and supply, franchising, research and development, specialisation and motor vehicle distribution and servicing. United Kingdom: Block exemptions are set by Block Exemption Orders under the Competition Act 1998. Where their criteria (including market share thresholds and excluded/hardcore restrictions) are satisfied, they disapply the Chapter I prohibition in section 2...

EU and UK competition law for joint ventures: EUMR, EA 2002/DMCC Act thresholds, Article 101 self-assessment, ancillary restraints, spill-over and information exchange risks, with checklists

Published by a LexisNexis Competition expert

Practice notes

Businesses commonly rely on joint ventures to break into fresh markets and to design, develop, and launch new products. This notion spans a wide array of scenarios and arrangements, including:

structural setups that establish or alter the economic control of a given legal entity:
- joint venture companies themselves
- partnerships between participants
- alterations to existing shareholder control
non-Structural joint ventures:
- contract-based joint projects
- informal (not documented) collaborations

For many joint venture arrangements, the extent of 'control' each party holds is often pivotal—though its meaning can be understood differently in varying contexts. This is particularly significant in EU competition law in practice. Accordingly, a joint venture’s treatment under those rules depends on whether it is 'concentrative' (structural) or 'cooperative' (non-structural).

Structural joint ventures and Merger control

Where a joint venture brings about a durable structural shift in the market (ie by forming a new market player and/or combining specific activities of two pre-existing players), it may potentially be subject to the merger control rules of jurisdictions affected by the joint venture. Indeed, a structural joint venture might also fall within the rules of certain jurisdictions where the joint venture’s operation will...

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Web page updated on 21/05/2026

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