Laws and Regulations for Purchasers: Monopolies and Anti-Competitive Practices

This presentation highlights the laws and regulations that purchasers need to follow to minimize risky situations. It also explains monopolies and anti-competitive practices in the UK and the role of the competition commission.

Business
Law
Task 3

Cover Content
• Introduction
• Monopolies and anti-competitive practice
• Role of competition commission
• Dominant position within EU common market
• Instances under EU Law exemptions
• References

Introduction
Law is a cluster of norms, beliefs, provisions, rules and regulation
which is designed and enforced by governmental institution for
regulating behaviour of whole society. Therefore, this presentation
is going to highlight the laws which need to be followed by
purchaser while buying any product for minimizing the
probabilities of risky situation. Moreover, monopolies and anti-
competitive practices of UK is also explained for understanding
the eminent role of competition commission associated with this
monopolies.

Monopolies and anti-
competitive practice
Legal bodies of UK have enacted numerous of Acts and laws for
preventing anti-competition practices which are described as
follows-
•The Competition Act 1998
•The Enterprise Act 2002
•Enterprise and Regulatory Act 2013
•Business, Innovation and Skills (BIS)

Continue…
Business, Innovation and Skills
(BIS) and their main objective are
–
Always encourage free markets
and fair competition amongst
rivalries.
Encouraging businesses towards
enhancement in productivity and
also to enhance their skills.

Role of competition
commission
However, competition commission major responsibility is to
analyse whether a merger have reduce competition and after
identifying it commission can suggest few things such as-
Merger can move forward.
Merger might get prohibited or not.

Continue…
• Merger can move forward
but it is essential to do
some modifications.
• For deciding the
recommendation,
commission needs to
analyse that by merger
whether the competition is
maintained at marketplace
or not.

Dominant position within EU
common market
Dominant position is a term which is defined in European Union
Treaty in Article 82 that states that “if there is availability of any
abuse which might done because of one or more organization of
dominant position at common market or in substantial part of
then it must be prohibited as incompatible within common market
because it may influence trading between member states of
European Union”.

Instances under EU Law
exemptions
Competition commission have done some exceptions for specific
contracts which is created between organizations and that
exemptions are falls under Article 81 (3) of treaty of Rome.
Basically, these exemptions are applied when the contract have
significant countervailing advantages which is offered through
application of “block exemption” and it is associated with specific
categories of agreements or those contracts which were made in
few sectors.

Continue…
However, European
commission is only who have
an authority of issuing
exemptions and this required
to be notified for clearance.
•Individual exemption
•Block exemptions

References
• Hanrahan, P.F., Ramsay, I. and Stapledon, G.P., 2013.
Commercial applications of company law.
• Besley, T., 2015. Law, regulation, and the business climate:
The nature and influence of the World Bank Doing Business
project. Journal of Economic Perspectives, 29(3), pp.99-120.
• Ellison, N.B. and Boyd, D.M., 2013. Sociality through social
network sites. In The Oxford handbook of internet studies.

Thank You