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Prohibited agreements: Bona-Polska

< previous | next > 30.09.2013

Prohibited agreements: Bona-Polska

Fixing prices for 12 years or more, market-sharing for almost 10 – such practices were used by Bona – Polska. For applying competition-restricting practices, the company paid a fine of nearly PLN 82 thousand

Bona–Polska deals with nationwide distribution of products by the Swedish concern Bona designed for construction, working and maintenance of wooden floors (e.g. adhesives, varnishes, oils, or specialist wood care equipment).

The proceedings against the company were instituted in December 2012. It revealed that in the years 2000-2012 the company had been entering into competition-restricting agreements with its distributors. They were imposing, inter alia, applying fixed prices and minimum rates by retail and wholesellers. It is worth noting that antimonopoly law prohibits applying such agreements. The results of this collusion affected recipients of products by Bona-Polska, including consumers who couldn’t buy products at rates below the fixed prices. It should be noted that in some cases the company was checking if the fixed rates were respected, under threat of losing discounts by sellers offering cheaper products.

Moreover, the conducted proceedings revealed that in the years 2003- 2012, Bona–Polska was sharing the market. Agreements concluded between the company and distributors prohibited the latter to trade in the areas served by other sellers. It is not allowed to restrict the territory where undertakings distributing given products may sell them. The same applies to resale prices – Bona-Polska was controlling if the dealings were respected, otherwise distributors were at risk of losing discounts.

For applying competition-restricting practices, Bona–Polska was fined with nearly PLN 82 thousand (PLN 81 287. 88). The decision is final and the undertaking has already paid the imposed fine.

For participation in a competition-restricting agreement, undertakings can be imposed a fine of up to 10 % of revenue gained in the year preceding the decision. Undertakings may expect immunity from fines provided they cooperate with UOKIK under the leniency programme. Any entity who produces evidence indicating the existence of a cartel, was not its initiator, ceased the unlawful practice, and fully cooperates with the President of UOKiK, may even expect a full immunity from financial sanctions. UOKiK’s lawyers are available at +48 22 55 60 555 to answer any questions concerning this programme, even anonymous.

Additional information for media:

Małgorzata Cieloch, Spokesperson of UOKiK
Department of International Relations and Communication

Pl. Powstańców Warszawy 1, 00-950 Warsaw
Tel.: +48 22 827 28 92, 55 60 314, 55 60 430
Fax: +48 22 826 11 86
E-mail: [SCODE]bWFsZ29yemF0YS5jaWVsb2NoQHVva2lrLmdvdi5wbA==[ECODE]

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ICPENICNPolish Aid