It is commonly advised to execute agreements free from hardcore
restrictions in order to benefit from the Block Exemption.
Obligations preventing dealers to reach wider and different cus-
tomers by way of internet by providing conditions which are not equiv-
alent with the conditions set forth for the brick and mortar shops are
regarded as hardcore restrictions. This means, in cases where criteria
for online and offline sales are equivalent certain conditions for inter-
net sales can be provided. This regulation does not mean that the con-
ditions imposed for online sales and off-line sales must be the same
however, they should bear the same purpose and differentiate only in
terms of the nature of online and offline sales. The agreements, which
impose the above, mentioned hardcore restriction can not benefit from
Block Exemption.
Suppliers can put conditions on minimum time limits for delivery,
customer services, design of the website such as using high quality or
three dimensional pictures of the product. Quality conditions for inter-
net sales should be in line with the characteristic of the product.
Moreover the conditions provided by the suppliers should not interfere
with the criteria of other suppliers. The Guidelines provides that in
cases where it is easier for unauthorized dealers to obtain the products
in question over the internet it is possible to have stricter rules
8
. A sup-
plier may request instant delivery for products sold offline whereas this
requirement will not be possible for online sales; suppliers can impose
certain delivery times for such sales. Moreover, there can be differ-
ences for the costs of costumers in terms of online sales where a cus-
tomer wishes to return the product and also for secure payment sys-
tems
9
.
Conclusion
VBER and the Guidelines show the Commission’s view on online
sales within the context of selective distribution systems. The
Guidelines defines the terms active and passive selling and emphasize
that “in principle, every distributor must be allowed to use the Internet
COMPETITION LAW
125
8
See: Guidelines, para. 56.
9
See: Guidelines, para. 56.