The Romanian Competition Law Association (ARCON) begins talks on the new legislative framework for distribution agreements

The Romanian Competition Law Association (ARCON) marked the beginning of its activity with an event discussing the new legislative changes related to distribution, agency and franchising agreements that will enter into force on June 1st 2022. The event was attended by both private sector representatives and representatives of the Competition Council.

The topic under discussion delved into possible changes in the patterns of trading of goods and/or services in the light of the new EU Vertical Agreements Block Exemption Regulation and highlighted key aspects of how these changes will be accommodated by the competition authority in practice.

“The new regulations will affect all players in the field operating at different levels of the production or distribution chain. These new rules will apply with respect to any offline and online businesses, and those of their suppliers, customers, distributors and competitors and will have a direct impact on every company that makes use of distribution agreements” says Anca Buta Mușat, president of ARCON.

The Vertical Agreements Block Exemption Regulation covers all types of distribution set-ups, including exclusive distribution, selective distribution, free distribution, agency and franchising. It contains rules concerning e-commerce and addresses specific restrictions such as limitations on the setting of prices, exclusivity, territorial restrictions, location clauses, customer restrictions, non-compete obligations and the like. The Vertical Guidelines are drawn up by the European Commission taking into account the provisions of the Regulation and are designed to guide companies during the process of assessing the compatibility of the vertical agreements to which they are party with new legislative requirements.

ARCON was founded to act as a hub/ an incubator for the study and discussion of all national, EU and international developments and commercial practices on competition law, including its intersection with unfair competition law and intellectual property law. By promoting the exchange of ideas and experiences between all professionals interested in this field of law, the association wishes to create an impartial forum for debate and create valuable knowledge on any topic of interest to the field, to promote a fair and balanced application and interpretation of competition law which serves the interests of consumers, the business environment and the public at large.

ARCON welcomes interested members from a diverse range of professional backgrounds: magistrates, lawyers, corporate counsel, public officials, academics, trademark and patent attorneys, economists, trade experts, students.

ARCON is also the Romanian national group of the International Ligue of Competition Law (LIDC), an international association founded in 1930 focused on the study of competition law, intellectual property law and unfair competition law. In this capacity, associate members of ARCON also become members of the International League of Competition Law, in which capacity they may attend events organised by the League or its other affiliated national groups.