beale & Co – TENDERING: WHEN DOES CO-OPERATION BECOME COLLUSION? EU COMMISSION ISSUES NEW GUIDANCE

Competition Law regulates when businesses who are rivals may work together. It prohibits agreements or arrangements between firms which have the purpose or effect of restricting competition. There are harsh penalties for infringing competition law, including fines of up to 10% of group, worldwide turnover, damages actions and director disqualifications. For serious infringements, individuals may even face jail time. There are different sets of competition rules across European jurisdictions, although substantively the prohibitions they impose are very similar.