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ity is not addressed to a specific customer but aims to fulfill the demands

made by the customers. A passive sale is where a customer visits a

website of a distributor and contacts that distributor which results as a

sale with delivery. In cases where customers prefer to be automatically

updated which results as sales are also considered as passive sales.

In terms of capturing wider customer groups, websites use different

language options, the language preferences provided to customers

creates passive character of the sales.

In general it is accepted that passive sales cannot be restricted

whereas suppliers can put restrictions on active sales by the distribu-

tors.

The Commission regulates hardcore restrictions with regard to

passive sales which are considered as unacceptable restrictions limit-

ing distributors’ accessibility to variety of customers. In order for the

agreements to benefit from Block Exemption they should exclude such

hardcore restrictions. Pursuant to Guidelines paragraph 52, restrictions

with regard to passive sales include;

• preventing customers to view another distributors website or

providing automatic rerouting of customers to other distribu-

tors, though it is allowed when a distributor’s website offers

links to other distributor or supplier websites,

• terminating a customer’s credit card data once it appears with-

in an other exclusive distributors exclusive territory,

• limiting a distributors proportion of sales over internet.

Although this does not prevent that the supplier requires certain

amount of sales to be made offline in order to provide efficien-

cy in brick and mortar shops or a supplier can make sure that

the online sales is in line with the suppliers distribution model.

• Agreements of dual pricing, suppliers cannot determine that

distributors pay different prices (higher) for online sales com-

pared to offline sales. However the supplier can agree a fixed

fee with the buyer.

The Commission regards abovementioned restrictions as limita-

tions addressed to the access of the distributors to wide and various

customers.

COMPETITION LAW

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