Global Competition Law is primarly a practitioner's guide presenting the most salient aspects of the major competition laws country by country, giving an overview of their structure and most charasteristic elements.
Global Competition Law also provides insight into possible future developments in the field.

Global Competition Law

Section 4 of the Protection of Competition Act governs anticompetitive agreements. The provision sets out a non-exhaustive list of prohibited practices including price-fixing, market allocation agreements, agreements limiting supplies, boycotts, exclusive dealing agreements, and tying. Section 4 further provides that where it is shown that competition in the market is apparently distorted, the bur …

The prohibition

Section 4 of the Protection of Competition Act governs anticompetitive agreements. The provision sets out a non-exhaustive list of prohibited practices including price-fixing, market allocation agreements, agreements limiting supplies, boycotts, exclusive dealing agreements, and tying. Section 4 further provides that where it is shown that competition in the market is apparently distorted, the burden of proof will be on the undertakings concerned.

The June 2020 amendments introduced a “de minimis” rule into Turkish law, whereby the Competition Board is authorized to prioritize cases and decide not to open an investigation where the anticompetitive practices at stake do not have a significant effect on competition. Hardcore restrictions such as price-fixing agreements, market or customer allocation and restriction of supply are however excluded from the benefit of de minimis rule. The amendments refer to market share and turnover thresholds to determine what constitutes de minimis conduct but leave to the Competition Board the task of establishing those thresholds.

Pursuant to Section 5, the Competition Authority is authorized to grant exemptions to agreements or practices otherwise prohibited by Section 4 except cartel agreements, which are not covered. The exemption may be granted for a defined period or until the fulfillment of a particular term or condition. Since the amendment of 2 July 2005, the Act no longer requires notification of restrictive agreements nor provides for a maximum period of five years for the exemption as it was the case in the past.

Agreements or practices potentially eligible for individual exemptions are those agreements that contribute to new developments in production or distribution whilst allowing consumers a share of the resulting benefit. However, at no time should an agreement lead to a suppression of competition in a significant part of the market or go beyond what is essential for the improvement of production or distribution. On 28 November 2013, the Competition Authority issued Guidelines on the General Principles of Exemption to provide undertakings, associations of undertakings and enforcers guidance on the assessment of the exemption (No 13-66/923-RM(10)).

Since 2020, relevant undertakings or associations of undertakings may make an application to the Competition Authority in order to have the Board confirm that the agreements, concerted practices or decisions of associations of undertakings meets the requierements of the exemption.

The Competition Authority is also entitled under Section 5(4) to issue communications establishing block exemptions applicable to particular categories of agreement. In this regard, block exemption regulations have been issued concerning, inter alia:

- vertical agreements in the motor vehicle sector (Communiqué 2017/3 published on 24 February 2017, which aligns Turkey with EU provisions) ; the Communiqué is supplemented by Guidelines No 17-03/35-RM(1);

- franchise agreements (Communiqué 1998/17, as amended by Communiqué 1999/2);

- research and development agreements (Communiqué 2016/5 published on 16 March 2016);

- specialization agreements (Communiqué 2013/3 published on 26 July 2013).

Pursuant to Section 8 of the Competition Act, it is possible to also receive a negative clearance whereby the Competition Authority states that on the basis of the facts in its possession, the agreement is not contrary to Sections 4, 6 and 7 of the Act.

Global Competition Law

1333. The prohibition

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Les notions juridiques connexes

1333. The prohibition

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Les notions juridiques connexes

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