Esso Contractor Agreement [1994] IECA 328 (19th May, 1994)

Esso Contractor Agreement [1994] IECA 328 (19th May, 1994)

The contractor is a commercial agent of Artane, not an independent trader. The agreement does not have as its object or effect the prevention, restriction or distortion of competition. The post-termination non-compete clause is limited and justified. Therefore, the agreement does not offend against Section 4(1) of the Competition Act, 1991.

Citation
[1994] IECA 328
Parties
Applicant: Artane Service Station Ltd; Decision Maker: Competition Authority; Related Party: Esso Ireland Ltd
Jurisdiction
Ireland
Procedural Posture
Competition Law Notification/decision / Final Decision
Outcome
Certificate issued; agreement does not offend Section 4(1) of the Competition Act, 1991.
Legal Topics
Commercial Agency, Non Compete Clauses, Distribution Agreements, Section 4 Competition Act 1991
Competition Law Commercial Agency Non Compete Clauses Distribution Agreements Section 4 Competition Act 1991

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Parties

Artane Service Station Ltd

Applicant

Competition Authority

Decision Maker

Esso Ireland Ltd

Related Party

Procedural Posture

Competition Law Notification/decision / Final Decision

Legal Issues

  1. 1 Whether the standard contractor agreement between Artane and its contractors constitutes an agreement between undertakings under Section 4(1) of the Competition Act, 1991
  2. 2 Whether the agreement has as its object or effect the prevention, restriction or distortion of competition
  3. 3 Whether the contractor is a commercial agent or an independent trader

Ratio Decidendi

The contractor is a commercial agent of Artane, not an independent trader. The agreement does not have as its object or effect the prevention, restriction or distortion of competition. The post-termination non-compete clause is limited and justified. Therefore, the agreement does not offend against Section 4(1) of the Competition Act, 1991.

Court Disposition

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

Orders

  • The Competition Authority certifies that the standard agreement between Artane and its contractors for the operation of an Artane-owned petrol station and convenience shop does not offend against Section 4(1) of the Competition Act, 1991.