Competition Commission of South Africa v Robert Bosch GMBH; Bosch Electrical Drives Co Ltd (CO161Jan22) [2022] ZACT 47; [2022] 1 CPLR 6 (CT) (28 January 2022)

Competition Commission of South Africa v Robert Bosch GMBH; Bosch Electrical Drives Co Ltd (CO161Jan22) [2022] ZACT 47; [2022] 1 CPLR 6 (CT) (28 January 2022)

The Tribunal confirmed the consent agreement between the Competition Commission and Robert Bosch GMBH and Bosch Electrical Drives Co Ltd. The agreement resolved allegations of collusive tendering, price fixing, and market division in the supply of automotive components outside South Africa. Although the respondents did not admit liability, the Tribunal accepted the Commission's position that the effects in South Africa were insignificant and that the administrative penalty did not exceed 10% of annual turnover. The respondents undertook to pay the penalty, implement a compliance programme, and refrain from future contraventions. The Tribunal found the agreement to be in accordance with...

Citation
[2022] ZACT 47
Parties
Applicant: Competition Commission of South Africa; Respondent: Robert Bosch GMBH; Respondent: Bosch Electrical Drives Co Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
28 January 2022
Case Number
CO161Jan22
Procedural Posture
Consent Order / Confirmation of Consent Agreement
Outcome
Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; compliance undertakings accepted.
Judges
AW Wessels, E Daniels, L Mncube
Legal Topics
Collusive Tendering, Price Fixing, Division of Markets, Administrative Penalty, Section 4 Competition Act
Competition Law Collusive Tendering Price Fixing Division of Markets Administrative Penalty Section 4 Competition Act

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Parties

Competition Commission of South Africa

Applicant

Robert Bosch GMBH

Respondent

Bosch Electrical Drives Co Ltd

Respondent

Procedural Posture

Consent Order / Confirmation of Consent Agreement

Legal Issues

  1. 1 Whether Robert Bosch GMBH and Bosch Electrical Drives Co Ltd engaged in collusive tendering, price fixing, and division of markets in contravention of section 4(1)(b) of the Competition Act.
  2. 2 Whether the consent agreement should be confirmed as an order of the Tribunal.
  3. 3 Whether the administrative penalty imposed is appropriate under the Competition Act.

Ratio Decidendi

The Tribunal confirmed the consent agreement between the Competition Commission and Robert Bosch GMBH and Bosch Electrical Drives Co Ltd. The agreement resolved allegations of collusive tendering, price fixing, and market division in the supply of automotive components outside South Africa. Although the respondents did not admit liability, the Tribunal accepted the Commission's position that the effects in South Africa were insignificant and that the administrative penalty did not exceed 10% of annual turnover. The respondents undertook to pay the penalty, implement a compliance programme, and refrain from future contraventions. The Tribunal found the agreement to be in accordance with...

Court Disposition

Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; compliance undertakings accepted.

Orders

  • The consent agreement between the Competition Commission and Robert Bosch GMBH and Bosch Electrical Drives Co Ltd is confirmed as an order of the Tribunal.
  • Robert Bosch GMBH and Bosch Electrical Drives Co Ltd must pay an administrative penalty of R2,401,923 to the Competition Commission within 30 days of confirmation.