Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Article 101 definition

What does Article 101 mean? In practice, Article 101 is the EU competition law rule that bans anti‑competitive agreements and concerted practices—such as cartels, price‑fixing, market‑sharing, bid‑rigging and resale price maintenance—where they prevent, restrict or distort competition and affect trade between EU member States. It covers agreements between undertakings, decisions of associations of undertakings and informal coordination; the test is whether the conduct has an anti‑competitive object or effect. The rule is set out in Article 101 TFEU and developed by Court of Justice case law. Prohibited agreements are void and can attract fines and damages claims. Exemptions may apply under Article 101(3) where...

Ofcom Chapter I/Article 101 infringement: Royal Mail–The SalesGroup parcel delivery customer allocation; Royal Mail leniency, SalesGroup £40,000 fine (UK)

Published by a LexisNexis Competition expert

Practice notes

CASE HUB ARCHIVED –this archived case hub reflects the position at the date of the decision of 14 November 2019; it is no longer maintained. See further, timeline and commentary.

Case facts

Outline: Ofcom Article 101 TFEU/Chapter I investigation into Royal Mail and The SalesGroup concerning an alleged customer allocation arrangement in the parcel Delivery services market, contrary to competition law.

Latest development

On 14 November 2019, Ofcom issued an infringement decision concluding that Royal Mail and The SalesGroup broke competition rules by agreeing not to provide or supply parcel delivery services to each other’s customers. The object of the arrangement was to limit competition by sharing customers within the relevant market. As a result, some customers were unable to buy services from their preferred supplier and, in certain instances, paid higher prices. The SalesGroup settled and received a £40,000 penalty. Royal Mail obtained immunity under the CMA’s Leniency programme for Reporting the agreement.

Parties

Royal Mail Group Limited (Royal Mail). Royal Mail operates a UK and international parcel...

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