Competition Commission v Van Heerden Pharmacy and Others (CO011Apr20) [2020] ZACT 98 (6 May 2020)

Competition Commission v Van Heerden Pharmacy and Others (CO011Apr20) [2020] ZACT 98 (6 May 2020)

The Tribunal considered the consent agreement entered into between the Competition Commission and Van Heerden Pharmacy Group, including its Rosslyn, Lyttleton, and Phalaborwa branches. The agreement addresses alleged contraventions of the Competition Act relating to market allocation and abuse of dominance. The Tribunal found that the consent agreement was negotiated in good faith, is consistent with the objectives of the Competition Act, and provides an appropriate remedy for the alleged conduct. Accordingly, the Tribunal confirmed the consent agreement and its addendum as binding on the parties.

Citation
[2020] ZACT 98
Parties
Applicant: Competition Commission; Respondent: Van Heerden Pharmacy Rosslyn; Respondent: Van Heerden Pharmacy Lyttleton; Respondent: Van Heerden Pharmacy Phalaborwa
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
6 May 2020
Case Number
CO011Apr20
Procedural Posture
Consent Order / Order Confirming Consent Agreement
Outcome
Consent agreement confirmed by the Tribunal; the matter is resolved in accordance with the terms of the agreement.
Judges
E Daniels, M Mazwai, T Vilakazi
Legal Topics
Consent Agreement, Abuse of Dominance, Market Allocation
Competition Law Consent Agreement Abuse of Dominance Market Allocation

Case Brief

Summary, issues, holding and outcome

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Parties

Competition Commission

Applicant

Van Heerden Pharmacy Rosslyn

Respondent

Van Heerden Pharmacy Lyttleton

Respondent

Van Heerden Pharmacy Phalaborwa

Respondent

Procedural Posture

Consent Order / Order Confirming Consent Agreement

Legal Issues

  1. 1 Whether the consent agreement between the Competition Commission and Van Heerden Pharmacy Group should be confirmed by the Tribunal.
  2. 2 Whether the conduct of the respondents contravened the Competition Act, specifically regarding market allocation and abuse of dominance.

Ratio Decidendi

The Tribunal considered the consent agreement entered into between the Competition Commission and Van Heerden Pharmacy Group, including its Rosslyn, Lyttleton, and Phalaborwa branches. The agreement addresses alleged contraventions of the Competition Act relating to market allocation and abuse of dominance. The Tribunal found that the consent agreement was negotiated in good faith, is consistent with the objectives of the Competition Act, and provides an appropriate remedy for the alleged conduct. Accordingly, the Tribunal confirmed the consent agreement and its addendum as binding on the parties.

Court Disposition

Consent agreement confirmed by the Tribunal; the matter is resolved in accordance with the terms of the agreement.

Orders

  • The consent agreement between the Competition Commission and Van Heerden Pharmacy Group, including Rosslyn, Lyttleton, and Phalaborwa branches, is confirmed as an order of the Tribunal.
  • The addendum to the consent agreement is also confirmed.