No. 74. New general exceptions to agreements prohibited by the anti-monopoly legislation

03.09.2009

Goltsblat BLP advises that Resolution of the Government of the Russian Federation of 16 July 2009 No. 583 "On admissible agreements between commercial entities“ (the Resolution) came into effect on 31 July 2009.

In compliance with the Federal Law "On Protection of Competition“, the Resolution sets 5-year general exceptions for agreements between:

  • buyers and sellers;
  • commercial entities on joint scientific research and joint use of scientific and (or) scientific and technical results.

Agreements between commercial entity buyers and sellers are recognised as admissible if, in aggregate, they meet the following conditions: the seller sells the goods to two or more buyers having a market share of less than 35% or to a single buyer with a market share of less than 35%; the seller and the buyer are not competitors or do not compete on the market for resale of the goods by the buyer; the buyer does not produce substitutable goods.

The Resolution also lists terms and conditions that may not be included in such agreements and exceptions from these prohibitions themselves.

It is expressly stipulated that an agreement between a buyer and a seller establishing the territory on which only the buyer is entitled to sell the goods must contain conditions by which the buyer undertakes not to conclude agreements with sellers of substitutable goods on establishing a geographically identical or partially coinciding territory.

If, after concluding an agreement, the share of the buyer or the seller on the relevant commodity market exceeds 35%, the general exceptions apply to the agreement for 6 months from the end of the calendar year during which the given share tops the 35% mark.

The Resolution prescribes that agreements between commercial entities on joint scientific research and joint use of scientific and (or) scientific and technical results must include conditions determining the rights of the parties to use the scientific and (or) scientific and technical results obtained from the joint scientific research.

Such agreements may not include conditions by virtue of which the costs incurred by the commercial entities party to the agreement are not classed as scientific research or design and experimental work costs.

For additional information, please contact :

Eugenia Borzilo, Head of Group,
Corporate / M&A,
Goltsblat BLP,
E: eugenia.borzilo@gblplaw.com

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