The Australian Competition and Consumer Commission grants first resale price maintenance authorisation to a power tools manufacturer (Tooltechnics)

On 5 December 2014 the Australian Competition and Consumer Commission (ACCC) granted its first authorisation in relation to resale price maintenance (RPM). RPM is per se prohibited in Australia. Although an authorisation (exemption) mechanism for RPM, determined on public benefits grounds, has been available in Australia since 1995, this application was the first to be made to the ACCC. The authorisation application was made by Tooltechnic Systems (Aust) Pty Ltd (Tooltechnic), an importer and wholesaler of Festool power tools in Australia. Tooltechnic claimed that the specialised and complex nature of its products necessitated high levels of service and that this service provision was being put at risk by the ‘free riding’ practices of some of its retailers. The ACCC accepted that

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  • Deakin University (Geelong)

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Julie Clarke, The Australian Competition and Consumer Commission grants first resale price maintenance authorisation to a power tools manufacturer (Tooltechnics), 5 December 2014, e-Competitions Bulletin December 2014, Art. N° 72020

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