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Friday, November 22, 2002

Agreements between enterprises

Agreements between companies that distort competition are illegal, unless they are specifically exempted from competition rules. For example, an agreement to fix prices between competing companies is illegal.

However, certain agreements containing anti-competitive clauses may be exempt if they have an overall positive balance on competition.

For example, exclusive distribution agreements, exclusive purchasing agreements and franchise agreements are permissible and can continue to be enforced.

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