FENDER OFFENDS – TO THE TUNE OF £4.5M
A reminder from a famous brand that anti-competitive behaviour can have serious consequences.
The Competition and Markets Authority has concluded that between 2013 and 2018 the European business of Fender, the famous guitar brand, illegally prevented online discounts on its products in the UK.
The fine of £4.5m is the largest penalty handed down to date by the UK Competition Regulator for this type of behaviour.
In short, it is lawful for suppliers to “recommend” the price that retailers should charge for their goods – but it is unlawful to set minimum selling prices.
Businesses must be aware of competition laws, especially if they hold any sort of dominant position in the relevant market.
This update is for general purposes and guidance only and does not constitute legal or professional advice. You should seek legal advice before relying on its content. For advice, get in touch with your usual Greenwoods GRM contact or scroll down to complete our enquiry form.