Selective Distribution Agreement

Some selective distribution agreements are not entirely within the purview of competition law. The case law has confirmed that the prohibition of anti-competitive agreements under Article 101, paragraph 1, generally does not apply to a selective distribution system in which four conditions are met:2 If you have kept abreast of EU competition law, you have probably heard of the Coty case. In 2017, the European Court of Justice has confirmed that luxury brands can prevent distributors operating in a selective distribution network from selling their products via online platforms of third parties, such as Amazon and eBay, if: – distributors are selected on the basis of objective and qualitative criteria; The criteria are applied in a uniform and non-discriminatory manner; The criteria do not go beyond what is necessary; The limitation of the preservation of the luxury image of the goods. This decision follows the request of the Court of Cassation in its important decision of 27 March 2019 on the selection of resellers in a selective distribution system (com, 27 March 2019, no 17-22083: published in the Bulletin; Letter distr. April 2019, p. 1, no (…) Article 5 of the 2005/4 press release provides for restrictions that remove agreements from exemptions by category. Those governed by Article 5 and who may not benefit from category exemptions are linked to selective distribution agreements. These include: (i) preventing exchanges between members of the system in the selective distribution system, (ii) restricting active or passive sales to end-users by members of a selective distribution system, iii) restricting the sale by members of a selective distribution system to special services. Although selective distribution has been a less priority for the Commission in recent years, it is under review at national level and, in general, it is strongly recommended that compliance with VABER be taken very seriously, particularly with regard to the restrictions and restrictions on the use of the internet. This is a legal area, given its long history and the breadth of precedents and guidelines available, of which all companies are supposed to be right, and any serious infringements that have been revealed can expect it to be dealt with with determination.