Competition Commission v Bowman Cycles (Pty) Ltd (73/CR/Jul12) [2013] ZACT 40 (30 May 2013)

Competition Commission v Bowman Cycles (Pty) Ltd (73/CR/Jul12) [2013] ZACT 40 (30 May 2013)

The Tribunal found that Bowman Cycles (Pty) Ltd admitted to participating in conduct that contravened section 4(1)(b)(i) of the Competition Act by engaging in price fixing and cartel arrangements with other cycling retailers and wholesalers. The settlement agreement, which included admissions, undertakings to cooperate with the Commission, commitments to future compliance, and the display of a compliance notice, was deemed appropriate and in line with the objectives of the Act. The Tribunal confirmed the settlement agreement and its annexure as an order, thereby concluding all proceedings between the Commission and Bowman relating to the alleged contraventions.

Citation
[2013] ZACT 40
Parties
Applicant: Competition Commission; Respondent: Bowman Cycles (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
30 May 2013
Case Number
73/CR/Jul12
Procedural Posture
Consent Order Application / Order Confirming Settlement Agreement
Outcome
Settlement agreement confirmed as an order of the Tribunal; proceedings between the Commission and Bowman Cycles (Pty) Ltd concluded.
Judges
N Manoim, M Mokuena, I Valodia
Legal Topics
Price Fixing, Cartel Conduct, Section 4 Competition Act, Consent Order, Settlement Agreement
Competition Law Price Fixing Cartel Conduct Section 4 Competition Act Consent Order Settlement Agreement

Case Brief

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Parties

Competition Commission

Applicant

Bowman Cycles (Pty) Ltd

Respondent

Procedural Posture

Consent Order Application / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Did Bowman Cycles (Pty) Ltd contravene section 4(1)(b)(i) of the Competition Act by engaging in price fixing and cartel conduct with other cycling retailers and wholesalers?
  2. 2 Should the settlement agreement between the Competition Commission and Bowman Cycles (Pty) Ltd be confirmed as an order of the Tribunal?

Ratio Decidendi

The Tribunal found that Bowman Cycles (Pty) Ltd admitted to participating in conduct that contravened section 4(1)(b)(i) of the Competition Act by engaging in price fixing and cartel arrangements with other cycling retailers and wholesalers. The settlement agreement, which included admissions, undertakings to cooperate with the Commission, commitments to future compliance, and the display of a compliance notice, was deemed appropriate and in line with the objectives of the Act. The Tribunal confirmed the settlement agreement and its annexure as an order, thereby concluding all proceedings between the Commission and Bowman relating to the alleged contraventions.

Court Disposition

Settlement agreement confirmed as an order of the Tribunal; proceedings between the Commission and Bowman Cycles (Pty) Ltd concluded.

Orders

  • The main settlement agreement dated 04 April 2013 is confirmed as an order of the Tribunal.
  • Annexure A, dated 29 May 2013, is confirmed as part of the order.