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Penalty for price fixing of Spokey sports equipment
< poprzedni | następny > 24.03.2021
- For almost 8 years, Spokey company has been fixing minimum prices at which on-line stores could sell sports equipment of this brand, such as rollerblades or scooters.
- President of UOKiK Tomasz Chróstny imposed a penalty of half a million PLN on Spokey as an organiser of an anti-competitive agreement.
- The Company has benefited from the leniency programme.
Spokey company from Katowice offers its proprietary brand sports equipment, including scooters, rollers, mats for exercises. It sells it through its own on-line store Republika Sportu, but it also has contracts with entrepreneurs from all over Poland. In December 2019 the President of UOKiK initiated proceedings against it and accused it of concluding an anti-competitive agreement with sports equipment dealers. Evidence obtained, inter alia, during the search at the company's registered office confirmed that in 2010-2018 Spokey was fixing minimum resale prices at which its partners could offer products to consumers in their e-stores or Allegro.
“Price-fixing is a very serious restriction of competition that has negative effects on the market. Spokey's pricing policies were also detrimental to consumers, who purchased sports equipment at higher prices than they would have if retailers had been free to set prices and to compete fairly,” Tomasz Chróstny, the President of the Office of Competition and Consumer Protection, explains.
Not only did Spokey impose minimum prices on its partners at which they could sell sports equipment, but it also monitored whether they were adhering to them. Other dealers also kept an eye on this, demanding that the company intervene in such a situation. If a seller applied lower prices than suggested, Spokey exerted pressure on it, for example by threatening to withhold supplies.
During the Katowice proceedings, the company benefited from the European leniency programme. Due to the fact that it cooperated with the President of the UOKiK and produced evidence that allowed it to establish the duration of the agreement and the rules under which it took place, it was granted a reduction in the penalty by half. Instead of over PLN 1.1 million – the sanction amounted to PLN 568,679. If Spokey had not withdrawn from the declaration of voluntary submission to the penalty, it would have been even lower by another 10 per cent, i. e. by more than PLN 113 thousand.
“I do encourage entrepreneurs to cooperate with the Office. The leniency programme offers in some cases even complete immunity from the financial penalties, or may lead to their considerable reduction, as it was the case this time. Voluntary plea bargaining reduces the fine by an additional 10 per cent. Above all, however, the beneficiary here is the market, from which the prohibited practice is eliminated faster.” Tomasz Chróstny, President of UOKiK, stresses.
The European leniency programme is available to those who provide evidence or information of an illegal agreement and agree to co-operate with UOKiK. Entrepreneurs and managers interested in the leniency programme are encouraged to contact the Office. By calling +48 22 55 60 555, you will be able to talk to UOKiK lawyers, who will answer all of your questions, also anonymous ones, related to leniency applications.
The Office also offers a programme allowing it to acquire information from anonymous whistle-blowers. If you are aware of any illegal agreements at your former or present workplace, please report them to UOKiK. Visit https://konkurencja.uokik.gov.pl/sygnalista/ and fill out a simple form. Our system guarantees that your identity will not be disclosed.
Additional information for the media:
UOKiK Press Office
Pl. Powstańców Warszawy 1, 00-950 Warszawa, Poland
Phone +48 695 902 088, +48 22 55 60 246
E-mail: biuroprasowe@uokik.gov.pl
Twitter: @UOKiKgovPL
Pliki do pobrania
- Press release (114,97 KB, docx, 2021.03.24)
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