Competition Commission v Western Granite Bricks (Pty) Ltd (020750) [2015] ZACT 24 (18 March 2015)

Competition Commission v Western Granite Bricks (Pty) Ltd (020750) [2015] ZACT 24 (18 March 2015)

The Tribunal found that Western Granite Bricks (Pty) Ltd admitted to contravening sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division with Columbia DBL (Pty) Ltd. The settlement agreement, which included undertakings for future compliance and the payment of an administrative penalty, was found to be appropriate and in accordance with the provisions of the Act. The Tribunal confirmed the settlement agreement as an order, thereby concluding all proceedings between the parties relating to the contravention under investigation.

Citation
[2015] ZACT 24
Parties
Applicant: Competition Commission; Respondent: Western Granite Bricks (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
18 March 2015
Case Number
020750
Procedural Posture
Settlement Confirmation / Order Confirming Settlement Agreement
Outcome
Settlement agreement confirmed as an order of the Tribunal; administrative penalty imposed.
Judges
A Roskam, I Valodia, F Tregenna
Legal Topics
Horizontal Agreements, Price Fixing, Market Division, Administrative Penalty, Settlement Agreement
Competition Law Horizontal Agreements Price Fixing Market Division Administrative Penalty Settlement Agreement

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Parties

Competition Commission

Applicant

Western Granite Bricks (Pty) Ltd

Respondent

Procedural Posture

Settlement Confirmation / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Whether Western Granite Bricks (Pty) Ltd contravened sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division.
  2. 2 Whether the settlement agreement between the Competition Commission and Western Granite Bricks (Pty) Ltd 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 found that Western Granite Bricks (Pty) Ltd admitted to contravening sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division with Columbia DBL (Pty) Ltd. The settlement agreement, which included undertakings for future compliance and the payment of an administrative penalty, was found to be appropriate and in accordance with the provisions of the Act. The Tribunal confirmed the settlement agreement as an order, thereby concluding all proceedings between the parties relating to the contravention under investigation.

Court Disposition

Settlement agreement confirmed as an order of the Tribunal; administrative penalty imposed.

Orders

  • The settlement agreement between the Competition Commission and Western Granite Bricks (Pty) Ltd is confirmed as an order of the Tribunal.
  • Western Granite Bricks (Pty) Ltd shall pay an administrative penalty of R100,000 in instalments as specified in the agreement.