Competition Commission v DBS Distributing CC ta Thule Car Rack Systems CC (016840) [2013] ZACT 79 (24 July 2013)

Competition Commission v DBS Distributing CC ta Thule Car Rack Systems CC (016840) [2013] ZACT 79 (24 July 2013)

The Tribunal found that Thule admitted to participating in conduct that contravened section 4(1)(b)(i) of the Competition Act by engaging in price fixing and cartel activities with other cycling retailers and wholesalers. The settlement agreement, which included Thule's undertakings to cooperate with the Commission, desist from anti-competitive conduct, and implement compliance training, was deemed appropriate and in line with the objectives of the Act. The Tribunal confirmed the settlement agreement as an order, thereby concluding all proceedings between the Commission and Thule relating to the alleged contraventions.

Citation
[2013] ZACT 79
Parties
Applicant: Competition Commission; Respondent: DBS Distributing CC t/a Thule Car Rack Systems CC
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
24 July 2013
Case Number
016840
Procedural Posture
Settlement Confirmation / Order Confirming Settlement Agreement
Outcome
Settlement agreement confirmed as an order of the Tribunal. Proceedings between the Commission and Thule relating to the alleged contraventions are concluded.
Judges
A Wessels, M Mazwai, A Roskam
Legal Topics
Price Fixing, Cartel Conduct, Section 4 1 B I, Settlement Agreement, Future Conduct Undertakings
Competition Law Price Fixing Cartel Conduct Section 4 1 B I Settlement Agreement Future Conduct Undertakings

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Parties

Competition Commission

Applicant

DBS Distributing CC t/a Thule Car Rack Systems CC

Respondent

Procedural Posture

Settlement Confirmation / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Whether Thule contravened 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 Whether the settlement agreement between the Commission and Thule should be confirmed as an order of the Tribunal.
  3. 3 What undertakings and future conduct are required from Thule to ensure compliance with the Competition Act.

Ratio Decidendi

The Tribunal found that Thule admitted to participating in conduct that contravened section 4(1)(b)(i) of the Competition Act by engaging in price fixing and cartel activities with other cycling retailers and wholesalers. The settlement agreement, which included Thule's undertakings to cooperate with the Commission, desist from anti-competitive conduct, and implement compliance training, was deemed appropriate and in line with the objectives of the Act. The Tribunal confirmed the settlement agreement as an order, thereby concluding all proceedings between the Commission and Thule relating to the alleged contraventions.

Court Disposition

Settlement agreement confirmed as an order of the Tribunal. Proceedings between the Commission and Thule relating to the alleged contraventions are concluded.

Orders

  • The settlement agreement between the Competition Commission and DBS Distributing CC t/a Thule Car Rack Systems CC is confirmed as an order of the Tribunal.
  • Thule must cooperate with the Commission in relation to the prosecution of other respondents.