Cyriel Ruers successfully represented a pet food manufacturer in an investigation by the Authority for Consumers & Markets (ACM) into possible prohibited vertical price fixing in the sector. The ACM had received signals that various dog food suppliers had influenced the resale prices of pet shops, which would have kept prices artificially high. This practice is also known as vertical price fixing or resale price maintenance and can constitute a violation of the cartel prohibition for which the ACM can impose heavy fines. The ACM has warned nine dog food suppliers and summoned companies for talks at the ACM office about the signals it has received.
The signals that the ACM received also appear to show that some producers used wholesalers to influence the sales prices of pet shops. The ACM warns that both producers and wholesalers risk a fine of up to 900,000 euros or 40% of their turnover.
Vertical price fixing and the influencing of retail prices in general has been high on the ACM's enforcement agenda since it imposed multi-million fines on Samsung and LG. In recent years, the ACM has warned suppliers of products in various sectors following indications of possible violations. See the ACM's press release for more information about the investigation into animal feed producers.
The investigation has also been discussed in the media, see here and here.
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