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9 August 2024

Two-Minute Recap Of Turkish Competition Law Developments - July 2024

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Gen Temizer

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Gen Temizer is a leading independent Turkish law firm located in Istanbul's financial centre. The Firm has an excellent track record of handling cross-border matters for clients and covers the full bandwidth of most complex transactions and litigation with its cross-departmental, multi-disciplinary and diverse team of over 30 lawyers. The Firm is deeply rooted in the local market with over 80 years of combined experience of the name partners while providing the highest global standards of legal services.
A Turkish Competition Authority investigation into Google examined allegations that various search features offered on its desktop and mobile search results page, including "videos".
Turkey Antitrust/Competition Law
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Google secures rare win in General Search investigation

A Turkish Competition Authority investigation into Google examined allegations that various search features offered on its desktop and mobile search results page, including "videos", "people also ask", "translation box", "sports box" and "weather box", pushed websites down in search results page causing them to lose traffic.

The authority held that, while Google enjoys a dominant position in the general search services market, it did not abuse its dominant position. Google is currently undergoing another investigation concerning allegations that it favoured its own products/services in the advertisement technology supply chain where it operates a vertically integrated structure. Further information on the decision can be viewed in English on the RK website.

Koroplast under investigation for resale price maintenance

Koroplast, a well-known Turkish packaging (freezer bags, refuse bags etc), brand is under investigation concerning allegations it fixed its resellers' prices.

Investigation into electric vehicle charging services

The Competition Board completed its preliminary investigation into exclusivity practices by providers of electric vehicle charging services on the Izmir-Istanbul highway. The Board found the facts sufficient to launch a fully fledged investigation to decide whether (i) the conduct of two companies involving exclusivity practices violated competition law; and (ii) whether the conduct of one company discriminating between undertakings violated competition law.

THY Opet off the hook

The Competition Board has completed its investigation on whether THY Opet excessively increased the fees related to jet fuel storage and refueling services under the scope of the operation of fuel storage, sale and refueling units located in İstanbul Sabiha Gökçen International Airport. The Board found no violation as a result of the investigation.

Competitive concerns in bottled water sector assuaged

The Competition Board initiated a preliminary investigation to examine whether certain producers/suppliers in the bottled water sector jointly determined prices, ultimately deciding not to initiate a fully fledged investigation.

However, the Board became aware of the possibility of resale price interference in orders from mobile apps and call centers. The board, therefore decided to initiate an additional study concerning the sector.

This resulted in the creation of a new order system allowing dealers to freely determine their prices in orders received via mobile apps, online sales platforms and call centers owned by bottled water producer/supplier brands. In doing so, the amendments required to eliminate competitive concerns were completed.

Violations in automotive sector

  • The Competition Board ruled that Volta, an electric vehicle brand, violated Turkish competition law by interfering with its resellers' resale prices imposing an administrative fine of approximately EUR 180,000 (subject to a 25% reduction as a result of the settlement procedure). No fine is issued for customer and territorial restriction allegations, as Volta offered commitments.
  • Similarly, the Competition Board found that Erba's resale price maintenance practices violated competition law and imposed a EUR 55,000 million fine on the caravan company (also subject to a 25% reduction as a result of the settlement process).
  • Another investigation concerned 10 tractor companies and included allegations of:
  • customer and region restriction (8 companies).
  • anti-competitive information exchange (all 10 companies).
  • resale price maintenance by HATTAT only.

All companies accused of customer and region restriction practices offered commitments which were accepted by the Board. All companies were found not guilty of anti-competitive information exchange.

Finally, HATTAT was found to have violated competition law and fined approx. EUR 565,376.

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