Competition Law Risk
IRM has worked with the UK Competition and Markets Authority to produce a guide to UK Competition Law Risk. Competition law is designed to protect businesses and consumers from anti-competitive behaviour in order to deliver open, dynamic markets and enhanced productivity, innovation and value.
If competition law is breached then organisations can find themselves facing financial penalties, prison and fines, disqualification of directors and severe reputational damage. Following recent changes in the enforcement regime and the structure of the regulator, the chance of detection and prosecution is higher than ever so we thought that it would be useful to produce a guide to help organisations approach this risk with confidence.
The guide provides a basic overview of the law in respect of three areas of anti-competitive behaviour - cartels, anti-competitive agreements and abuse of dominant position - and includes some colourful case studies. It then sets out the approach that should be taken to manage the risk, starting with a core commitment to compliance and following the classic steps of risk identification, analysis and evaluation, management, monitoring and review. It concludes with some questions for non-executive directors to ask and advice on what to do if it appears that the law may have been broken.