Cerestar UK Ltd/Betco Marketing Ltd. [1994] IECA 374 (21st November, 1994)

Cerestar UK Ltd/Betco Marketing Ltd. [1994] IECA 374 (21st November, 1994)

The agency agreement, including exclusivity, territorial restrictions, price setting, post-term non-compete, and confidentiality clauses, arises from the basic commercial agency relationship and does not offend Section 4(1) of the Competition Act, 1991. The one-year post-term non-compete clause is reasonable and within EU limits. Confidentiality provisions do not prevent fair competition post-termination.

Citation
[1994] IECA 374
Parties
Principal: Cerestar UK Ltd; Agent: Betco Marketing Ltd
Jurisdiction
Ireland
Procedural Posture
Competition Authority Decision / Final Decision
Outcome
Certificate issued; agreement does not offend Section 4(1) of the Competition Act, 1991.
Legal Topics
Agency Agreements, Exclusive Dealing, Non Compete Clauses, Confidentiality, Commercial Agents
Competition Law Agency Agreements Exclusive Dealing Non Compete Clauses Confidentiality Commercial Agents

Case Brief

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Parties

Cerestar UK Ltd

Principal

Betco Marketing Ltd

Agent

Procedural Posture

Competition Authority Decision / Final Decision

Legal Issues

  1. 1 Whether the agency agreement between Cerestar UK Ltd and Betco Marketing Ltd offends Section 4(1) of the Competition Act, 1991
  2. 2 Legality of exclusivity, territorial restrictions, price setting, post-term non-compete, and confidentiality clauses

Ratio Decidendi

The agency agreement, including exclusivity, territorial restrictions, price setting, post-term non-compete, and confidentiality clauses, arises from the basic commercial agency relationship and does not offend Section 4(1) of the Competition Act, 1991. The one-year post-term non-compete clause is reasonable and within EU limits. Confidentiality provisions do not prevent fair competition post-termination.

Court Disposition

Certificate issued; agreement does not offend Section 4(1) of the Competition Act, 1991.

Orders

  • Certificate issued confirming Agency Agreement dated 24 March 1992 between Cerestar UK Ltd and Betco Marketing Ltd does not offend Section 4(1) of the Competition Act, 1991.