Competition Commission v Yazaki Corporation (CO079Aug20) [2020] ZACT 67 (21 August 2020)

Competition Commission v Yazaki Corporation (CO079Aug20) [2020] ZACT 67 (21 August 2020)

The Tribunal confirmed the consent agreement between the Competition Commission and Yazaki Corporation as an order. The Commission's investigation established that Yazaki, together with Sumitomo and Denso, participated in cartel conduct outside South Africa, including price fixing, market division, and collusive tendering in the supply of automotive components to OEMs. Although Yazaki did not admit liability, the Commission accepted the consent agreement due to the limited impact of Yazaki's conduct in South Africa. Yazaki undertook to pay an administrative penalty of R3,898,675.15, implement a competition law compliance programme, and circulate the agreement to its employees. The order...

Citation
[2020] ZACT 67
Parties
Applicant: Competition Commission; Respondent: Yazaki Corporation
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
21 August 2020
Case Number
CO079Aug20
Procedural Posture
Consent Order / Consent Agreement Confirmation
Outcome
Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; compliance measures required; full and final settlement of proceedings.
Judges
Y Carrim, A Ndoni, F Tregenna
Legal Topics
Cartel Conduct, Price Fixing, Market Division, Collusive Tendering, Administrative Penalty
Competition Law Commercial and Corporate Cartel Conduct Price Fixing Market Division Collusive Tendering Administrative Penalty

Case Brief

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Parties

Competition Commission

Applicant

Yazaki Corporation

Respondent

Procedural Posture

Consent Order / Consent Agreement Confirmation

Legal Issues

  1. 1 Whether Yazaki Corporation, together with Sumitomo and Denso, engaged in cartel conduct including price fixing, market division, and collusive tendering in contravention of section 4(1)(b) of the Competition Act.
  2. 2 Whether the effects of Yazaki's conduct in South Africa warrant the imposition of an administrative penalty.
  3. 3 Whether the consent agreement constitutes full and final settlement of all proceedings between the Commission and Yazaki.

Ratio Decidendi

The Tribunal confirmed the consent agreement between the Competition Commission and Yazaki Corporation as an order. The Commission's investigation established that Yazaki, together with Sumitomo and Denso, participated in cartel conduct outside South Africa, including price fixing, market division, and collusive tendering in the supply of automotive components to OEMs. Although Yazaki did not admit liability, the Commission accepted the consent agreement due to the limited impact of Yazaki's conduct in South Africa. Yazaki undertook to pay an administrative penalty of R3,898,675.15, implement a competition law compliance programme, and circulate the agreement to its employees. The order...

Court Disposition

Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; compliance measures required; full and final settlement of proceedings.

Orders

  • The consent agreement between the Competition Commission and Yazaki Corporation is confirmed as an order of the Tribunal.
  • Yazaki Corporation must pay an administrative penalty of R3,898,675.15 to the Commission within 30 business days of confirmation of the order.