A bathroom equipment distributor - a company under the name of Excellent - was imposing product resale prices upon its trade partners for 10 years. As a result of an unlawful agreement, the consumers could be forced to pay higher prices for the products of brands such as: Excellent, Actima, Hansgrohe, Villeroy&Boch or Huppe. A financial penalty in the amount of nearly PLN 150 000 (ca. EUR 36 500) has been imposed upon the undertaking

Such a provision indicates (in the opinion of a lawyer) the existence of a price fixing scheme and acting to the detriment of a consumer/is prohibited; I suggest that this provision be somehow diluted or removed  – the above is a fragment of a letter sent to a trade partner by one of Excellent’s sales representatives. The undertaking offers bathroom equipment under his own brands of Excellent and Actima and is a distributor of, inter alia, Hansgrohe, Villeroy&Boch or Huppe.

The proceedings against the company were initiated in August 2013. According to information obtained by UOKiK, also during an inspection with search, the company concluded an unlawful agreement with its business partners who were reselling the bathroom products (acting both as wholesalers and retailers). The entrepreneurs were forced to apply minimum prices, which meant that they were required to offer rates imposed upon them, or discounts that did not exceed the limits prescribed by Excellent. An independent pricing policy could result in an immediate termination of the contract or in the payment of contractual penalties. The unlawful practice was in effect from 2003 to 2013. Its results may have impacted, inter alia, consumers arranging or refurbishing their bathrooms and not being able to purchase the products covered by the scheme at prices that would be cheaper than those arbitrarily imposed.

A penalty in the amount of PLN 146 277 (ca. EUR 36 556) has been imposed upon Excellent for the conclusion of the unlawful agreement. The decision is final.

Sanctions for the participation in a competition-restricting agreement can be avoided thanks to collaboration with UOKiK under the leniency programme. An undertaking that provides evidence for the existence of such scheme, is not its initiator and has ceased to apply prohibited practices may be granted even full immunity from fine. UOKiK lawyers answer any questions regarding the programme, including anonymous ones, at phone number: +48 22 55 60 555.

Additional information for the media:
Małgorzata Cieloch, Spokesperson for UOKiK
Department of International Relations and Communication
Pl. Powstańców Warszawy 1, 00-950 Warszawa
Phone: +48 22 827 28 92, 55 60 314
Fax +48 22 826 11 86
E-mail: [SCODE]bWFsZ29yemF0YS5jaWVsb2NoQHVva2lrLmdvdi5wbA==[ECODE]