Competition Law Essay Help By PhD Academic Law Professors

Competition Law Essay Help

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Competition Law Essay Writing Service

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Free Guide: Competition Law Essay Help

Competition law seeks to encourage healthy contests. It prohibits the anticompetitive pacts between organisations and firms like agreement of fix costs or to divide the market, and it makes it illegal for the businesses to exploit the leading market position. You must become conscious about the rules and be committed to not breaking the rule of law or to becoming the object of the anticompetitive performers. There are more severe sanctions for the violations. Those can be put into charge, expel the director and other authoritative figures, and in certain cases, put them into jail. Under this law, business mergers can also be forbidden if they decrease competition and markets that have low or no competition can be inspected through market observation.

The act also forbids abuse of the dominant market position. This is mostly implied to the businesses with large market share, generally with 40% or more. Other factors considered like whether the company is leading in terms of number and size of customers and competitors and that new business will come into set up in competition. The type of signs that specify abuse includes, taking or imposing unfair prices, forcing other trading terms on customers, restricting production, or not supplying the customers without any solid reason. OFT (Office Of Fair Trading) also observes whether abuse has affected the trade.

OFT has ample power to investigate and take actions against those who break the rule of competition law. Penalties include fines of 10% from the company`s annual turnover. Also, directors can be expelled or disqualified, even can be imprisoned. Moreover, if the penalty is charged, customers and competitors can confidentially sue the companies that break the rule of law for any losses that have suffered because of the anti-competitive actions.

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