“South Africa’s Competition Act is a complex creature. With its wide reach, and its impact on other fields of law, the full extent of its implications can be difficult to grasp” says Jac Marais, Partner, Commercial Property and Litigation Department at Adams & Adams.

"In a nutshell, , the Competition Act impacts on almost all areas of business. It aims to ensure an effective market-based economy that functions for the benefit of all consumers.

“It therefore restricts businesses from behaving in ways that could adversely affect the level of competition and accordingly the benefit to consumers.”

For example, Marais explains that the Act prohibits competitors from colluding to keep the selling price of their products artificially high. Heavy fines are exacted on firms that contravene the Act and as a result non-compliance has become one of the most critical risks for businesses to manage.

The Act also seeks to level the playing field for smaller businesses and provides protection for these firms from being abused by dominant market players. “In some instances,” elaborates Marais, “small firms may even be allowed to behave in ways that would be prohibited for others to enable them to gain traction in the market.

“Adams & Adams are the leaders in respect of all matters relating to Intellectual Property, and as such have a competitive advantage in also advising in complex matters which involve both intellectual property and competition law.

“Our team is extremely well placed to assist clients in coming to grips with the Act and to provide practical advice on all aspects of Competition Law."

Contact:
Adams & Adams
Alexis Apostolidis, Partner and Head Competition Law
Jac Marais, Partner Commercial Property and Litigation Department
012 432 6000