Fashion shop – Photo by shattha pilabut on Pexels
(BRUSSELS) – Pierre Cardin and licensee Ahlers may have breached EU antitrust rules by restricting cross-border sales of Pierre Cardin-licensed clothing, the EU said Monday in a statement of objections.
The Commission concerns are, that for more than a decade, French fashion house Pierre Cardin and German clothing manufacturer Ahlers entered into anti-competitive agreements and coordinated to restrict the ability of other Pierre Cardin licensees and their customers to sell Pierre Cardin-licensed clothing, both offline and online: (a) into Ahlers’ EEA licensed territories; and/or (b) to low-price retailers (such as discounters) offering lower prices to consumers in such territories.
The preliminary findings of the Commission are that the ultimate objective of such coordination between Pierre Cardin and Ahlers was to ensure Ahlers’ absolute territorial protection in the countries covered by its licensing agreements with Pierre Cardin in the EEA.
“Consumers in the EU must be able to shop around for the best deals,” said EC vice-president Margrethe Vestager: “Our concern is that the licensing and distribution practices of Pierre Cardin and Ahlers, its largest licensee, may have prevented consumers from benefiting from lower prices and a greater choice of clothing.”
If the Commission’s preliminary view are confirmed, the companies’ behaviour would violate EU rules that prohibit anticompetitive agreements between companies (Article 101 of the Treaty on the Functioning of the European Union (‘TFEU’) and Article 53 of the EEA Agreement).
The EU executive stresses that sending a Statement of Objections does not prejudge the outcome of an investigation.
More information on this case will be available on the Commission’s competition website, in the public case register under the case number AT.40642.
