Article 5(1) prohibits any agreement between undertakings, any decision by an association of undertakings and any concerted practice between undertakings having the object or effect of preventing, restricting or distorting competition within Malta. Article 5 provides a non-exhaustive list of agreements, decisions or practices which are prohibited under the Competition Act and which are consequently ipso jure null and unenforceable. This list covers agreements, decisions or practices which:
In terms of Article 5(3), the provisions of Article 5(1) do not apply in the case of any agreement between undertakings, any decision by an association of undertakings or any concerted practice that satisfies the following four cumulative conditions:
Article 101 of the TFEU also applies where any agreement between undertakings, any decision by an association of undertakings or any concerted practice may appreciably affect trade between Malta and anyone more Member States.
As part of its competition law enforcement framework, the Office has established its Guidelines on the Methodology for Determining the Penalty Amount. The Guidelines set out the principles and methodology that the Office will apply when proposing financial penalties for alleged infringements of competition law.
The Guidelines aim to enhance transparency, consistency and predictability in the enforcement of the Competition Act (Chapter 379 of the Laws of Malta), particularly in relation to alleged infringements of Articles 5 and 9 of the Competition Act and Articles 101 and 102 of the Treaty on the Functioning of the European Union.
The Guidelines establish a structured approach to determining the amount of the penalty to be proposed before the Civil Court (Commercial Section). The methodology takes into account a number of factors, including the gravity and duration of the infringement, aggravating and mitigating circumstances, the need for effective deterrence, proportionality and applicable statutory maximum limits.
The Guidelines are not binding on the Maltese Courts but represent the Office’s legal position and current enforcement practice. They may be amended or revoked by the Office as necessary.
The Guidelines on the Methodology for Determining the Penalty Amount are available here.
Article 5(1) prohibits any agreement between undertakings, any decision by an association of undertakings and any concerted practice between undertakings having the object or effect of preventing, restricting or distorting competition within Malta. Article 5 provides a non-exhaustive list of agreements, decisions or practices which are prohibited under the Competition Act and which are consequently ipso jure null and unenforceable. This list covers agreements, decisions or practices which:
In terms of Article 5(3), the provisions of Article 5(1) do not apply in the case of any agreement between undertakings, any decision by an association of undertakings or any concerted practice that satisfies the following four cumulative conditions:
Article 101 of the TFEU also applies where any agreement between undertakings, any decision by an association of undertakings or any concerted practice may appreciably affect trade between Malta and anyone more Member States.
As part of its competition law enforcement framework, the Office has established its Guidelines on the Methodology for Determining the Penalty Amount. The Guidelines set out the principles and methodology that the Office will apply when proposing financial penalties for alleged infringements of competition law.
The Guidelines aim to enhance transparency, consistency and predictability in the enforcement of the Competition Act (Chapter 379 of the Laws of Malta), particularly in relation to alleged infringements of Articles 5 and 9 of the Competition Act and Articles 101 and 102 of the Treaty on the Functioning of the European Union.
The Guidelines establish a structured approach to determining the amount of the penalty to be proposed before the Civil Court (Commercial Section). The methodology takes into account a number of factors, including the gravity and duration of the infringement, aggravating and mitigating circumstances, the need for effective deterrence, proportionality and applicable statutory maximum limits.
The Guidelines are not binding on the Maltese Courts but represent the Office’s legal position and current enforcement practice. They may be amended or revoked by the Office as necessary.
The Guidelines on the Methodology for Determining the Penalty Amount are available here.
Sector inquiries are those investigations carried out by the Office for Competition into particular sectors of the economy and into types of agreements across various sectors, where it believes the trend of trade, the rigidity of prices or other circumstances suggest that competition may be restricted or distorted. The Office uses the information obtained in an inquiry so as to understand a particular market better and assess the market from a competition law perspective.
A sector inquiry is a comprehensive economic and regulatory investigation, that analyses in depth the dynamic of competition in a market, identifying existing competition issues and where appropriate, making recommendations to address the competition concerns.
