THE IMPACT OF COVID-19 ON THE IMPLEMENTATION OF THE COMPETITION LAW IN RELATION TO COOPERATION BETWEEN COMPETITORS

Session

Law

Description

The impact of COVID-19 on the functioning of the economy may attract companies to cooperate with their competitors, by becoming partners in so-called "cartels" in order to overcome the difficulties created by the circumstances caused by COVID-19. In this context, it is important for companies to know what they can or cannot do to deal with the current crisis from the perspective of competition law. EU Competition Law (and Kosovo Competition Law) prohibits cooperation between competitors that restricts free and effective competition. In particular, collaborations leading to price fixing, production limitation or capacity reduction are extremely harmful and severely penalized. An important question to consider is whether the COVID-19 crisis has affected, to make an exception to the application of the Competition Law. Specifically, the competition authorities have applied a softer view to possible anti-competitive practices in the context of COVID-19. This is the main question that has been raised in this paper. From the analysis of the legislation and the approach of the competition authorities at the end of this paper it has been concluded that the Competition Law although not at the same level has continued to be applied during COVID-19.

Keywords:

Covid-19, competition law, cartels, collaborations, companies, competitors.

Proceedings Editor

Edmond Hajrizi

ISBN

978-9951-550-47-5

Location

UBT Kampus, Lipjan

Start Date

30-10-2021 12:00 AM

End Date

30-10-2021 12:00 AM

DOI

10.33107/ubt-ic.2021.150

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Oct 30th, 12:00 AM Oct 30th, 12:00 AM

THE IMPACT OF COVID-19 ON THE IMPLEMENTATION OF THE COMPETITION LAW IN RELATION TO COOPERATION BETWEEN COMPETITORS

UBT Kampus, Lipjan

The impact of COVID-19 on the functioning of the economy may attract companies to cooperate with their competitors, by becoming partners in so-called "cartels" in order to overcome the difficulties created by the circumstances caused by COVID-19. In this context, it is important for companies to know what they can or cannot do to deal with the current crisis from the perspective of competition law. EU Competition Law (and Kosovo Competition Law) prohibits cooperation between competitors that restricts free and effective competition. In particular, collaborations leading to price fixing, production limitation or capacity reduction are extremely harmful and severely penalized. An important question to consider is whether the COVID-19 crisis has affected, to make an exception to the application of the Competition Law. Specifically, the competition authorities have applied a softer view to possible anti-competitive practices in the context of COVID-19. This is the main question that has been raised in this paper. From the analysis of the legislation and the approach of the competition authorities at the end of this paper it has been concluded that the Competition Law although not at the same level has continued to be applied during COVID-19.