As part of the Competition Commission's fast-track settlement procedure in the construction industry the Commission invited construction firms that were involved in collusive conduct to apply to engage with the Commission on settlement terms.

In response to its invitation, the Commission received settlement applications from twenty one firms.

The settlement applications implicated a further twenty five firms that had not responded to the invitation. Harding Allison Close Corporation (Harding Allison) was one of the twenty five firms that was implicated by the settlement applications.

On 18 June 2014, a date which is more than three years following the Commission's invitation and almost a year after the Competition Tribunal (Tribunal) confirmed fifteen consecutive settlement agreements between the Commission and fifteen firms in the construction industry, the Tribunal confirmed its sixteenth settlement agreement in this matter. As part of the settlement agreement, Harding Allison admitted to collusive tendering with Group Five by agreeing on a cover price in respect of a project for the building of premises for Renault Motor Company in Umhlanga.

Harding Allison agreed to pay an administrative penalty of R78,821.94, which represents 2% of its annual turnover for 2009.

Written by Kayley Keylock, Senior Associate, Competition practice, Cliffe Dekker Hofmeyr