AZTN: Piaggio Croatia Did Not Infringe on Market Competition Rules

Mladen Cerovac, AZTNLPJ Issue 169, 22 February 2016

According to the evidence presented to AZTN, Piaggo Croatia did not distort competition by concluding a prohibited agreement with its authorized dealers. Piaggio Croatia, as an exclusive purchaser and distributor of Piaggio Group motorcycles and scooters, did not limit the sales or restrict the buyers’ ability to freely determine their sale price. The complaint was based on the alleged resale price maintenance provisions in the vertical agreements with its buyers.

The recommended price, however, didn’t amount to a fixed price, as a result of pressure from the incentives provided on the buyers. Piaggio Croatia is permitted to recommend the resale price or to impose a maximum sale price, provided that this price does not amount to a fixed or minimum sale price as a result of pressure from, or incentives offered by the supplier or buyer.

Similarly, the buyer should be free to use the recommendations of the supplier and this in no way may be the result of any pressure or incentive on the part of the supplier, but exclusively the result of its free will in pursuing its own economic interests.

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