The EU Court of Justice rules that suppliers may prohibit the sales of their products via third-party online platforms to preserve the luxury image of their goods (Coty Germany / Parfümerie Akzente)

The Court of Justice of the European Union (CJEU) has ruled on 6 December 2017 that suppliers may prohibit the sales of their products via third-party online platforms such as Amazon or eBay to preserve the luxury image of their goods [1]. Such restrictions do not infringe the EU prohibition on anticompetitive agreements in Article 101(1) of the Treaty on the Functioning of the EU (TFEU) provided that the well-established legal conditions for the operation of a selective distribution system are met. In light of divergent approaches at the national level in Europe, the long-awaited judgment gives comfort to luxury goods suppliers that impose online sales platform restrictions as part of their selective distribution systems. The European Commission (Commission) has stated that “the

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Authors

  • Freshfields Bruckhaus Deringer (London)
  • Freshfields Bruckhaus Deringer (Berlin)

Quotation

Alex Potter, Frank Röhling, The EU Court of Justice rules that suppliers may prohibit the sales of their products via third-party online platforms to preserve the luxury image of their goods (Coty Germany / Parfümerie Akzente), 6 December 2017, e-Competitions December 2017, Art. N° 94389

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