Competition Commission v Pioneer Fishing (Pty) Ltd (CR206Mar14/SA255Mar16, 018622, 2011Mar5719) [2016] ZACT 36; [2016] 1 CPLR 91 (CT) (4 May 2016)

Competition Commission v Pioneer Fishing (Pty) Ltd (CR206Mar14/SA255Mar16, 018622, 2011Mar5719) [2016] ZACT 36; [2016] 1 CPLR 91 (CT) (4 May 2016)

The Tribunal found that Pioneer Fishing (Pty) Ltd admitted to entering into a Sale Agreement with Blue Continent Products (Pty) Ltd that restricted Pioneer Fishing to selling horse mackerel only in the local market, thereby dividing markets by allocating territories and/or customers in contravention of section 4(1)(b)(ii) of the Competition Act. The Tribunal accepted the settlement agreement, which included an admission of contravention, the implementation of a compliance programme, and the payment of an administrative penalty of R717,960.92, which did not exceed the statutory maximum. The Tribunal was satisfied that the settlement agreement addressed the contravention and provided...

Citation
[2016] ZACT 36
Parties
Applicant: Competition Commission; Respondent: Pioneer Fishing (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
4 May 2016
Case Number
CR206Mar14/SA255Mar16
Procedural Posture
Settlement Confirmation / Order Confirming Settlement Agreement
Outcome
Settlement agreement confirmed as an order of the Tribunal. Proceedings between the Commission and Pioneer Fishing (Pty) Ltd are concluded.
Judges
A Wessels, A Ndoni, M Mokuena
Legal Topics
Market Division, Horizontal Agreement, Administrative Penalty, Settlement Agreement, Compliance Programme
Competition Law Market Division Horizontal Agreement Administrative Penalty Settlement Agreement Compliance Programme

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Parties

Competition Commission

Applicant

Pioneer Fishing (Pty) Ltd

Respondent

Procedural Posture

Settlement Confirmation / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Did Pioneer Fishing (Pty) Ltd contravene section 4(1)(b)(ii) of the Competition Act by entering into agreements that divided markets by allocating territories and/or customers?
  2. 2 Is the settlement agreement between the Competition Commission and Pioneer Fishing (Pty) Ltd appropriate for confirmation as an order of the Tribunal?
  3. 3 Is the agreed administrative penalty within the statutory limits and properly calculated?

Ratio Decidendi

The Tribunal found that Pioneer Fishing (Pty) Ltd admitted to entering into a Sale Agreement with Blue Continent Products (Pty) Ltd that restricted Pioneer Fishing to selling horse mackerel only in the local market, thereby dividing markets by allocating territories and/or customers in contravention of section 4(1)(b)(ii) of the Competition Act. The Tribunal accepted the settlement agreement, which included an admission of contravention, the implementation of a compliance programme, and the payment of an administrative penalty of R717,960.92, which did not exceed the statutory maximum. The Tribunal was satisfied that the settlement agreement addressed the contravention and provided...

Court Disposition

Settlement agreement confirmed as an order of the Tribunal. Proceedings between the Commission and Pioneer Fishing (Pty) Ltd are concluded.

Orders

  • The settlement agreement between the Competition Commission and Pioneer Fishing (Pty) Ltd is confirmed as an order of the Tribunal.
  • Pioneer Fishing (Pty) Ltd must pay an administrative penalty of R717,960.92 to the Competition Commission within thirty days of confirmation of the settlement agreement.