UOKiK on the trail of collusion over panel prices. “Illegal Agreement”
As stated in the ad Competition and Consumer Protection Office (UOKiK)The cabinet president has initiated proceedings to determine whether the floor panel manufacturer Decora had entered into an illegal agreement with the sellers of its products. The findings may have concerned the prices of floor panels (vinyl) and their accessories, such as supports, floor profiles and skirting boards. The entrepreneurs may also have divided the sales market for these products among themselves.
“After receiving signals and analysis by the office, I decided to initiate explanatory proceedings and ordered searches, which, with the authorization of the court and with the assistance of the police, took place at the facilities of four entities. We are currently reviewing the evidence collected. The suspicion of collusion could mean that consumers and flooring professionals would not be able to purchase Decora panels cheaper than the pre-agreed prices.” – said Tomasz Chróstny, president of the Office for Competition and Consumer Protection, quoted in the announcement.
The statement informs that the searches took place at the offices of four companies – Decora, Decora Trade, Sklepy Komfort and Bel – Pol. The Department of Competition and Consumer Protection suspects that the prices of Decora products in stores were equal to or higher than the list prices sent by the company to distributors.
As the Competition and Consumer Protection Office points out, thanks to this practice, Decora managed to “discipline business partners who have not met agreed resale prices.”
The Cabinet indicated that sanctions could consist of refusing deliveries or extending deadlines for their implementation. Additionally, there may have been agreements to limit the sale of Decora products on certain online platforms.
The Office of Competition and Consumer Protection has analysed the prices of floor panels. The businessman faces a penalty
The statement emphasized that “the explanatory process is conducted on the case, and not against specific businessmen.” It was explained that if the collected material confirms the suspicions, the President of the Competition and Consumer Protection Office will initiate antitrust proceedings and bring charges against specific entities.
“Participation in an agreement that restricts competition may result in a financial penalty of up to 10% of the entrepreneur’s revenue. Managers responsible for concluding the collusion may be subject to a fine of up to PLN 2 million.“- recalled the Office.
However, the Office of Competition and Consumer Protection noted that the entrepreneurs and managers who participated in the illegal agreement have the opportunity to reduce or avoid financial sanctions thanks to the leniency program. ““It can be used as long as you cooperate as a ‘witness’ with the President of the Office of Competition and Consumer Protection and provide evidence or information about the existence of an illegal agreement.” – informed the Office.
