With a huge marketplace, medium-sized businesses may need more opportunities to catch up in the economy. Whether you are running a business on a small or a large scale, the Competition Act will not let you fall back into the competition.
Every company doing business in South Africa is subject to the Competition Act. To comprehend its fundamental ideas and have access to the best legal counsel, it is crucial to understand the significant repercussions of violation.
This blog post will guide you about competition and antitrust litigation and how you can put them to good use.
What is Competition and Antitrust Litigation?
Many of you might not be familiar with the notion of “competition and ant-trust litigation.” A simple definition of competition and antitrust litigation is a lawsuit that one can bring against an agency or other body that uses anti-competitive practices to advance their business.
Competition and antitrust litigation in South Africa are similar to those of the European Union, Canada, and the United States. In contrast to foreign models, the South African competition lawn emphasises more than just competition. Instead, it acts on other issues relating to social goals, promoting small businesses and empowering the black economy.
Types of Legal Claims Regarding Competition and Antitrust Litigation
A company, business, or organisation can commit many unlawful acts that one can claim are illegal. Below are some of the most prominent types of legal claims regarding competition and antitrust litigation.
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Price-fixing
This is one of the most common legal claims. Price fixing involves lowering or raising the price of goods or services in order to remain ahead of the competition.
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Monopolies
In this scenario, one or more businesses or people control the majority of the market share in a given economic sector. This is where the small-scale business owners might fall behind the competition, and the large-scale business owners would have more power to remain at the front.
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Exclusive Dealing
Exclusive deals with a scenario where a buyer purchases from a specific supplier and not anyone else.
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Bid Rigging
This is yet another common legal claim relating to competition and antitrust litigation. Here the competitors predetermine who will submit the winning bid in advance.
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Price Discrimination
As long as it doesn’t negatively impact competition, charging various prices is neither automatically nor per se illegal. It reduces competition when a supplier lowers prices in select areas or offers refunds or discounts to only specific clients.
Importance of Obtaining Professional Legal Representation
If you want your business to grow and protect it from rivals and antitrust authorities, it is vital to look for a credible and professional law force. Not only do these experts help you expand your horizons, but they also aid in navigating the merger control and improving the assessment process.
Final Takeaway
Learning about competition and antitrust litigation is essential as it helps defend businesses against legal infringement allegations. This way, you can work on your business’s prosperity and save it from penalties and fines.