Following an investigation report sent by the Provence-Alpes-Côte d’Azur, Occitanie and Corse inter-regional competition investigation brigade, SAS Distribution du Domaine d’Uby (SDU) and its parent company, SAS Holding François Morel, were sanctioned for imposing minimum resale prices on their distributors, a practice contrary to the rules in force (article L. 420-1 of the French Commercial Code).

These practices were implemented from 2015 to 2018, and included the communication of recommended prices which distributors were required to comply with, under penalty of sanctions, such as late deliveries.

The French Competition Authority ruled that these practices were seriously anti-competitive, as they restricted distributors’ pricing freedom and could harm consumers.

Following a settlement procedure, SDU agreed not to contest the grievances brought against it. The Authority imposed a fine of 500,000 euros on SDU and its parent company, the amount was determined during settlement procedure.

This decision is in line with the Authority’s previous case law on price-fixing practices, reaffirming the severity with which such practices are dealt with in France.