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Competition (Amendment) Act 2012

In short

This law amends the Competition Act 2002 and the Companies Act 1990 to strengthen competition regulation. It primarily focuses on increasing penalties for anti-competitive practices and expanding the powers of the competent authority to enforce competition law.

What it regulates

  • Penalties for competition offenses, including fines and imprisonment terms.
  • The types of relief that can be granted in actions against anti-competitive agreements or abuse of dominant positions.
  • The right of action for the competent authority against undertakings and their officers involved in prohibited practices.
  • Applications to the High Court for orders related to agreements between the competent authority and undertakings.

Who it concerns

  • Undertakings (businesses) involved in anti-competitive agreements, decisions, concerted practices, or abuse of a dominant position.
  • Directors, managers, or other officers of such undertakings who authorized or consented to these practices.

Key points

  • Maximum fines for certain offenses are increased from €4,000,000 to €5,000,000.
  • Maximum imprisonment terms for certain offenses are increased from 5 years to 10 years.
  • The Probation of Offenders Act 1907 does not apply to offenses under sections 6 or 7 of the Principal Act.
  • Courts can order convicted persons to pay the competent authority's costs for investigation, detection, and prosecution of offenses.
Legal text
Legal text

Act 2012 Skip to content Disclaimer Feedback Helpdesk Gaeilge Léim go dtí an t-ábhar Séanadh Aiseolas Deasc chabhrach English Gaeilge English Produced by the Office of the Attorney General Táirgthe ag

rangeBliain nó blianta nó raon TypeCineál All Legislation Acts Statutory Instruments Advanced SearchCuardach Casta HomeBaile ActsAchtanna 2012 Competition (Amendment) Act 2012 Competition (Amendment) Act 2012 Permanent Page URL View by SectionAmharc de réir Ailt View Full ActAmharc ar an Acht Iomlán Bill History Stair Bille Commencement, Amendments, SIs made under the Act Tosach Feidhme, Leasuithe, IRí arna ndéanamh faoin Acht Open PDFOscail PDF Print Full ActPriontáil an tAcht Iomlán Number 18 of 2012 COMPETITION (AMENDMENT) ACT 2012 ARRANGEMENT OF SECTIONS Section 1. Definition. 2. Amendment of section 8 of Principal Act. 3. Amendment of section 14 of Principal Act. 4. Right of action of competent authority. 5. Applications to High Court for

ders in relation to certain agreements.

  1. Amendment of section 30 of Principal Act.
  2. Amendment of section 45 of Principal Act.
  3. Res judicata.
  4. Amendment of section 160 of Companies Act
  5. Short title, commencement, collective citation and construction. Acts Referred to Companies Act 1990 1990, No. 33 Competition Act 2002 2002, No. 14 Competition Acts 2002 to 2010 Probation of Offenders Act 1907 7 Edw. 7, c.17 Number 18 of 2012 COMPETITION (AMENDMENT) ACT 2012 AN ACT TO AMEND THE COMPETITION ACT 2002; TO AMEND THE COMPANIES ACT 1990; AND TO PROVIDE FOR MATTERS CONNECTED THEREWITH. [20th June, 2012] BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS: Definition. 1.— In this Act “Principal Act” means the Competition Act 2002 . Amendment of section 8 of Principal Act. 2.— Section 8 of the Principal Act is amended— (a) in paragraph (a) of subsection

(1), by the substitution of “class A fine” for “fine not exceeding €3,000”, (b) in paragraph (b) of subsection
(1), by— (
  1. i)the substitution of “€5,000,000” for “€4,000,000” in each place that it occurs, and (
  2. ii)the substitution of “10 years” for “5 years”, (
  3. c)in paragraph (
  4. a)of subsection
(2), by the substitution of “class A fine” for “fine not exceeding €3,000”, (d) in paragraph (b) of subsection
(2), by the substitution of “€5,000,000” for “€4,000,000”, (e) in paragraph (a) of subsection
(3), by— (
  1. i)the substitution of the following subparagraph for subparagraph (i): “(
  2. i)in paragraph (a), ‘class E fine’ were substituted for ‘class A fine’ and references to imprisonment were disregarded, and”, and (
  3. ii)the substitution of “€50,000” for “€40,000” in sub-paragraph (ii)(I), (
  4. f)in paragraph (
  5. b)of subsection
(3), by— (
  1. i)the substitution of the following subparagraph for subparagraph (i): “(
  2. i)in paragraph (a), ‘class E fine’ were substituted for ‘class A fine’, and”, and (
  3. ii)the substitution of “€50,000” for “€40,000” in sub-paragraph (ii), (
  4. g)in subsection
(10), by the substitution of “section 14

section 14A” for “section 14”, and (h) by the insertion of the following subsections: “(11A) Section 1

(1)of the Probation of Offenders Act 1907 shall not apply in relation to an offence under section 6

7. (11B) Where a person is convicted of an offence under this Act the court shall

der the person to pay to the relevant competent authority a sum equal to the costs and expenses, measured by the court, incurred by that competent authority in relation to the investigation, detection and prosecution of the offence, unless the court is satisfied that there are special and substantial reasons for not so doing. (11C) Any sum paid to the competent authority pursuant to an

der under subsection (11B) shall be disposed of by that competent authority in such manner as the Minister for Public Expenditure and Reform directs.”. Amendment of section 14 of Principal Act. 3.— Section 14 of the Principal Act is amended by— (a) the substitution, in subsection

(1), of “prohibited under section 4

5,

by Article 101

102 of the Treaty on the Functioning of the European Union,” for “prohibited under section 4

5”, (b) the deletion of subsection

(2), (c) the deletion, in subsection
(3), of “
(2)”, (d) the substitution, in subsection
(5), of “The following reliefs,

any of them, may be granted to the plaintiff in an action under subsection

(1)” for “Without prejudice to subsection
(7), the following reliefs,

any of them, may be granted to the plaintiff in an action under subsection

(1)”, (
  1. e)the substitution, in paragraph (
  2. a)of subsection
(5), of “declaration (including a declaration in respect of a contravention of section 4

5

Article 101

102 of the Treaty on the Functioning of the European Union that has ceased)” for “declaration”, (f) the deletion of subsection

(6), (g) the substitution of the following subsection for subsection
(7)— “
(7)Without prejudice to subsection
(5), where in an action under subsection
(1)it is finally decided by the Court that an undertaking has, contrary to section 5,

Article 102

of the Treaty on the Functioning of the European Union, abused a dominant position, the Court may, by

der, either— (a) require the undertaking to discontinue the abuse,

(

  1. b)require the undertaking to adopt such measures for the purpose of— (
  2. i)its ceasing to be in a dominant position,

(ii) securing an adjustment of that position, as may be specified in the

der (including measures consisting of the sale of assets of the undertaking) within such period as may be so specified.”, (h) the deletion, in subsection

(8), of “
(2)”, and (i) the insertion of the following subsection: “
(10)In this section ‘injunction’ means— (
  1. a)an interim injunction, (
  2. b)an interlocutory injunction,

(c) an injunction of definite

indefinite duration.”. Right of action of competent authority. 4.— The Principal Act is amended by the insertion of the following new section: “14A.—

(1)The competent authority shall, in respect of any agreement, decision, concerted practice

abuse that is prohibited under section 4

5,

by Article 101

102 of the Treaty on the Functioning of the European Union, have a right of action under this subsection for relief against either

both of the following: (a) any undertaking which is

has at any material time been a party to such an agreement, decision

concerted practice

has done any act that constituted such an abuse; (b) any director, manager

other officer of such an undertaking,

a person who purported to act in any such capacity, who authorised

consented to, as the case may be, the entry by the undertaking into,

the implementation by it, of the agreement

decision, the engaging by it in the concerted practice

the doing by it of the act that constituted the abuse.

(2)An action under subsection
(1)may be brought in the Circuit Court

in the High Court.

(3)Relief by way of injunction

declaration (including a declaration in respect of a contravention of section 4

5

Article 101

102 of the Treaty on the Functioning of the European Union that has ceased) may be granted to the competent authority in an action under subsection

(1).
(4)Without prejudice to subsection
(3), where in an action under subsection
(1)it is finally decided by the Court that an undertaking has, contrary to section 5,

Article 102

of the Treaty on the Functioning of the European Union, abused a dominant position, the Court may, by

der either— (a) require the undertaking to discontinue the abuse,

(

  1. b)require the undertaking to adopt such measures for the purpose of— (
  2. i)its ceasing to be in a dominant position,

(ii) securing an adjustment of that position, as may be specified in the

der (including measures consisting of the sale of assets of the undertaking) within such period as may be so specified.

(5)Where in an action under subsection
(1)it is proved that the act complained of was done by an undertaking it shall be presumed, until the contrary is proved, that each (if any) director of the undertaking and person employed by it whose duties included making decisions that, to a significant extent, could have affected the management of the undertaking, and any other person who purported to act in any such capacity at the material time, consented to the doing of the said act.
(6)In this section ‘injunction’ means— (
  1. a)an interim injunction, (
  2. b)an interlocutory injunction,

(c) an injunction of definite

indefinite duration.”. Applications to High Court for

ders in relation to certain agreements. 5.— The Principal Act is amended by the insertion of the following section: “14B.—

(1)This section applies to an agreement entered into by the competent authority with an undertaking— (
  1. a)following an investigation referred to in paragraph (
  2. b)of subsection
(1)of section 30, and (b) that requires the undertaking to do

refrain from doing such things as are specified in the agreement in consideration of the competent authority agreeing not to bring proceedings under section 14A (inserted by section 4 of the Competition (Amendment) Act 2012) in relation to any matter to which that investigation related

any findings resulting from that investigation.

(2)The High Court may, upon the application of the competent authority, make an

der in the terms of an agreement to which this section applies if it is satisfied that— (a) the undertaking that is a party to that agreement consents to the making of the

der, (

  1. b)that undertaking obtained legal advice before so consenting, (
  2. c)the agreement is clear and unambiguous and capable of being complied with, (
  3. d)that undertaking is aware that failure to comply with any

der so made would constitute contempt of court, and (e) the competent authority has complied with subsection

(3).
(3)Where the competent authority proposes to make an application for an

der under subsection

(2)in respect of an agreement to which this section applies, it shall, not later than 14 days before the making of the application— (
  1. a)publish the terms of that agreement on a website maintained by the competent authority, and (
  2. b)publish a notice, in not fewer than 2 daily newspapers circulating throughout the State— (
  3. i)stating that it intends to make such application, (
  4. ii)specifying the date on which such application will be made, and (iii) stating— (I) that the agreement to which the proposed application relates is published, in accordance with paragraph (a), on a website maintained by it, and (II) the address of that website.
(4)An

der under subsection

(2)shall not have effect— (a) until the expiration of the period of 45 days from the making of the

der,

(b) where an application is made to the High Court under subsection

(5)in respect of the

der, until the making of a final determination in relation to that application.

(5)The High Court may, upon the application of any person (other than the competent authority

the undertaking to which an

der under this section applies) made during the period referred to in paragraph (a) of subsection

(4), make an

der varying

annulling an

der under subsection

(2)if it is satisfied that the agreement in respect of which the

der was made requires the undertaking to which the

der applies to do

refrain from doing anything that would result in a breach of any contract between the undertaking concerned and the applicant

that would render a term of that contract not capable of being performed.

(6)The High Court shall not make an

der under subsection

(5)if it is satisfied that the contract

term of the contract to which the application for such

der relates contravenes section 4

5,

Article 101

102 of the Treaty on the Functioning of the European Union.

(7)The High Court may, upon the application of the competent authority

an undertaking to which an

der under subsection

(2)applies, make an

der varying

annulling the first-mentioned

der if— (a) the party (other than the applicant for the

der) to the agreement to which the first-mentioned

der applies consents to the application, (b) the first-mentioned

der contains a material error, (c) there has been a material change in circumstances since the making of the first-mentioned

der that warrants the court varying

annulling the

der,

(d) the court is satisfied that, in the interests of justice, the first-mentioned

der should be varied

annulled.

(8)Subject to any

der under subsection

(9), an

der under subsection

(2)shall cease to have effect upon the expiration of 7 years from the making of the second-mentioned

der.

(9)The High Court may, upon the application of the competent authority made not earlier than 3 months before the expiration of an

der under subsection

(2), make an

der extending the period of the first-mentioned

der (whether

not previously extended under this subsection) for a further period not exceeding 3 years.

(10)Paragraphs (a), (b), (
  1. c)and (
  2. d)of subsection
(2)shall apply in respect of the determination of an application referred to in subsection
(9)as they apply in respect of the determination of an application referred to in subsection
(2).
(11)In this section ‘undertaking’ includes an association of undertakings.”. Amendment of section 30 of Principal Act. 6.— Section 30 of the Principal Act is amended, in paragraph (b) of subsection
(4), by the substitution of “section 14A” for “section 14”. Amendment of section 45 of Principal Act. 7.—
(1)Section 45 of the Principal Act is amended— (a) in subsection
(7), by the substitution of “35” for “14” in each place that it occurs, and (b) in paragraph (a) of subsection
(13), by the substitution of “section 14A” for “section 14”.
(2)The amendment of subsection
(7)of section 45 of the Principal Act effected by paragraph (a) of subsection
(1)shall not apply as respects books, documents

records seized

obtained under that section before the commencement of this section. Res judicata. 8.—

(1)Where, in proceedings under Part 2 of the Principal Act, a court finds, as part of a final decision in relation to the matters to which those proceedings relate, that an undertaking contravened section 4

5 of that Act,

Article 101

102 of the Treaty on the Functioning of the European Union, then, for the purposes of any subsequent proceedings (other than proceedings for an offence) under that Part, the finding shall be res judicata (whether

not the parties to the said subsequent proceedings are the same as the parties to the first-mentioned proceedings).

(2)In this section “finding” includes a conviction for an offence, whether

not that conviction is consequent upon a plea of guilty by an accused person. Amendment of section 160 of Companies Act 1990. 9.— Section 160 of the Companies Act 1990 is amended by— (a) the insertion, in subsection

(2), of the following paragraph: “(hh) a person has contravened section 4

5 of the Competition Act 2002

Article 101

102 of the Treaty on the Functioning of the European Union;

”, and (

  1. b)the insertion of the following subsection: “(6B) An application to which paragraph (
  2. hh)of subsection

(2)applies may be made by the competent authority (within the meaning of the Competition Act 2002 ).”. Short title, commencement, collective citation and construction. 10.—
(1)This Act may be cited as the Competition (Amendment) Act 2012.
(2)This Act shall come into operation on such day

days as the Minister for Jobs, Enterprise and Innovation may appoint by

der

ders either generally

with reference to any particular purpose

provision and different days may be so appointed for different purposes

provisions.

(3)The Competition Acts 2002 to 2010 and this Act (other than section 9 ) may be cited together as the Competition Acts 2002 to 2012 and shall be construed together as one Act. Privacy Statement Accessibility European Legislation Identifier (PDF) Open Data License Ráiteas Príobháideachais Inrochtaineacht Aitheantóir Eorpach Reachtaíochta (ELI) Ceadúnas Sonraí Oscailte Liosta Fianán © Government of Ireland. Oireachtas Copyright Material is reproduced with the permission of the Houses of the Oireachtas © Rialtas na hÉireann. Atáirgtear ábhar faoi Chóipcheart le cead ó Thithe an Oireachtais

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