Business Law Task 3: Analysis of Competition Law and Monopolies

This report provides a comprehensive overview of business law, specifically focusing on competition law and monopolies within the UK and EU markets. It begins with an introduction to business law, emphasizing the importance of protecting rights in commercial activities and adherence to regulations, particularly concerning the Sale of Goods Act. The report then delves into UK competition law, detailing the prohibition of monopolistic activities, relevant statutes like the Competition Act 1999 and Enterprise Act 2003, and the definition of a monopoly based on market share. It includes a case study from the light fittings sector, illustrating the enforcement of competition laws. Furthermore, the report examines the role of the Competition Commission in regulating mergers and monopolistic activities, as well as the concept of a dominant market position within the EU, highlighting potential consumer exploitation. The report also discusses exemptions to competition law under Article 102, providing insights into how anti-competitive practices might be justified. The report concludes with a list of references used to support the findings and arguments presented.

BUSINESS LAW
TASK 3

INTRODUCTION
 Business law is the subdivision of civil law. It is implicated for
protecting the rights , conduct of people, and their relations of
people who are involved in trade activities and the activities of
commerce, sales and merchandising. It consists of rules and
regulation which the parties have to follow and abide by these
policies.
 In accordance with the sale of goods act it is the duty of seller to
provide high quality goods and the goods that are provided and
delivered to the customer are according to the description of the
product. The product must be same both at the time of
description and at the time of delivery.

3.1 Monopolies and anti competitive
legislation in UK.
 United kingdom Competition law prohibited any
Monopolistic activity in the market and has all the rights to
investigate any case of its concern. Broadly, United
Kingdom Competition law gets affected by British as well
as European union elements.
 There are two most important statutes with purely national
dimension in united kingdom regarding competition laws
which are Competition act 1999 and Enterprise act 2003. in
UK the term monopoly is defined as: If a Company have
more than 25% of market share then it will be considered as
monopoly.

CONTD..
Case law- Light fittings sectors;
The decision of court- On 3rd May 2017, the
Competition and Market Authorities has declared a
decision of imposing the fine for breaking the law by
National lighting companies and all its subsidiaries,
Endon lighting limited,Saxby lighting limited and
Poole lighting limited. The fine carries the discount
reflecting the savings of the company's admission
under the CMA agreement settlement.

3.2) Competition commission with the context of monopolies and
anti-competitive.
Competition commission was constituted in 1999 to regulate
any mergers, acquisitions, joint ventures and monopolistic activity
in the market. It replaced the monopolies and mergers commission.
Office of fair trading refers the issues to the commission.
Commission only makes recommendations, all the enforcement is
done by the office of fair trading.

3.3 Dominant position with in the EU market.
 In terms of Dominant position, one firm having a
control over entire market area through they
maintain strong position in the market which results
exploitation of customer who are the important part
of the market.
 They control over market which is more than 50%.
It is clearly unfair condition with consumers. This
condition is able to create barriers. It is the growing
concern that, various types of instruments through
which abuse of dominant position can be done.

3.4 Situation in which exemption is
provided to them.
 According to article of 102, it involve exemptions this can
classify the behaviour of three types. These exemption is
provided to those who are able to proved that anti-
competitive practices are benefits for the entire market.
 According to the article 101 which consists various of laws
and regulation and have to be fulfil by them. In which
principals are agreed to exempt agreement which are not so
important. The companies holding is less than 10% are
known as small business organization

REFERENCES
Folsom, et. al 2012. International business transactions: a problem-
oriented coursebook.
Bagley, C.E. and Dauchy, C.E., 2011. The entrepreneur's guide to
business law. Nelson Education.
Spalding, A.B., 2011. The Irony of International Business Law: US
Progressivism, China’s New Laissez Faire, and Their Impact in the
Developing World.
Appleman, J.A., Appleman, J. and Holmes, E.M., 2015. Excuses for
Nonpayment and Defenses to Actions for Premiums (Vol. 5). Appleman
on Insurance Law and Practice.
Pohl, M., 2017. HANDBOOK ON THE HISTORY OF EUROPEAN
BANKS. Economics, (357).