Monday, May 7, 2018

Pierre Fabre, Coty and Restrictions on Internet Sales: An Economist’s Perspective

Ralph Winter offers Pierre Fabre, Coty and Restrictions on Internet Sales: An Economist’s Perspective.

ABSTRACT: In its decision of 6 December 2017 in Coty, the Court of Justice of the EU (CJEU) relaxed the law against restraints placed by manufacturers on retailers’ decisions to distribute goods over the internet. In a previous case, Pierre Fabre(C-439/09), the Court had stated that, as regards cosmetics, ‘the aim of maintaining a prestigious image is not a legitimate aim for restricting competition.' In Coty, the court narrowed the possible interpretations of Pierre Fabre, stating that this ruling concerned only the total ban of internet sales of cosmetic products at issue in that case. The Court decided in Coty that the preservation of a luxury image in fact can justify restrictions on internet sales (via selective distribution agreements) providing certain conditions apply.

https://lawprofessors.typepad.com/antitrustprof_blog/2018/05/pierre-fabre-coty-and-restrictions-on-internet-sales-an-economists-perspective.html

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