Sewing machines supplier STRIMA agreed with a settlement procedure and was thus imposed a lower fine for vertical agreements
According to the Office, STRIMA, a supplier of sewing machines (e.g. Janome, Texi, Husqvarna Viking, Pfaff, Singer), in 2016 – 2020 set minimum or fixed retail prices for its customers, the retailers, at which they would sell the goods to end consumers. Compliance with these prices was monitored by STRIMA, and if a customer failed to comply, it was required to increase prices to at least the set level or otherwise threatened with sanctions. The prohibited resale price fixing agreements resulted in the raising price level for end consumers by restricting price competition between individual retailers.
Competition was distorted in the markets for household sewing machines and accessories in the Czech Republic and Slovakia. By the objected conduct, STRIMA infringed not only the prohibition set out in the Czech Competition Act but also the prohibition set out in the competition rules of the European Union.
When imposing the fine, the Office considered, as a mitigating factor, that the undertaking STRIMA voluntarily ceased the anticompetitive conduct, informed all its customers that the agreements in question were invalid and that the setting of the retail price is entirely at the discretion of the customers. The undertaking admitted to the anticompetitive conduct in the settlement procedure, for which the fine was reduced as indicated above.
Press Unit of the Office for the Protection of Competition
2024-04-09 / Zásilkovna will share pick-up points thanks to the intervention of the Office, more options for consumers The Office for the Protection of Competition (“the Office”) accepted commitments from an undertaking Zásilkovna s.r.o. consisting of an amendment to the contractual terms and conditions concluded...
2024-04-05 / Fine of CZK 8 million for Another Pet Food Distributor Forbiding Lower Prices By the first-instance decision, the Office for the Protection of Competition (“the Office”) imposed a fine of CZK 8,656,000 on the undertaking Dibaq a.s. for entering into prohibited agreements on...
2024-04-03 / The Office Imposed a Fine of CZK 72 million on Distributor of Moulinex, Rowenta, Krups and Tefal Products The Office for the Protection of Competition (hereinafter referred to as “the Office”) imposed a fine of CZK 72 333 000 on the undertaking Groupe SEB ČR s.r.o. for prohibited agreements on resale...
2024-02-13 / The Office Imposed a Record Fine of CZK 125 million on ELECTROLUX for Anticompetitive Conduct The Office for the Protection of Competition (hereinafter referred to as “the Office”) punished the undertaking ELECTROLUX, by imposing a fine of CZK 125 404 000 for long-term anticompetitive conduct...
2024-01-19 / The Office Will Share Its Experience Using the DATACROS Tool The results of the Datacros II project, which focuses on investigating corruption, organised and financial crime using innovative techniques, will be presented on Tuesday 30 January 2024 through a public...
2024-01-16 / The Office presented a number of possibble legislative proposals to support Efficient competition The Office for the Protection of Competition drafted a proposal of possible legislative changes. The purpose of such amendments is to increase the effectiveness of the Office, in particular the detection...
2023-11-23 / Economic Experts Shared Their Knowledge with the Employees of the Office for the Protection of Competition Last week, the Office for the Protection of Competition (hereinafter referred to as "the Office") organised a lecture on competition economics within the framework of improving the qualification and...
2023-11-20 / BEKO Fined 13 Million for Obstructing the On-Site Inspection The Office for the Protection of Competition (hereinafter referred to as "the Office") imposed a fine of CZK 13,651,000 on BEKO SPÓLKA AKCYJNA for an infringement of the obligation to provide cooperation...
