Kasturi Moodaliyar Senior Lecturer of Competition Law University of Witwatersrand, Johannesburg, South Africa 1

Commission Tribunal Appeal Court INSTITUTIONSINSTITUTIONS Referral of complaints and large mergers Appeal of Tribunal Decisions Ex emption applications, Complaints & merger notifications Ex emption applications, Complaints & merger notifications Appeal of exemption, intermediate Merger or non-referral decisions Appeal of exemption, intermediate Merger or non-referral decisions Appeal of Tribunal decisions 2

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 If found guilty the individual may be fined up to  R  or serve up to 10 years imprisonment  or both.  * The Amendment Act has not come into effect as yet.

 A firm may not directly or indirectly:  Pay any fine that may be imposed on a person convicted of an offence in terms of this section; or  Indemnify, reimburse, compensate or otherwise defray the expenses of a person incurred in defending against prosecution in terms of this section, unless the prosecution is abandoned or the person is acquitted.

 Cartel Overcharge = Qc(Pm – Pc)  The cartel overcharge is equal to the number of units actually sold by the cartel multiplied by the difference between the price actually charged by the cartel and the price that would have been charged had there been no cartel (the counterfactual price) 9

 Restrictive Horizontal Practice Prohibited Agreement prohibited :  (b) if it involves any of the following restrictive horizontal practices:  directly or indirectly fixing a purchase or selling price or any other trading condition;  dividing markets customers, suppliers, territories, or specific types of goods or services; or  collusive tendering 10

 Direct purchasers (customers) which are intermediate sellers (producers, distributors, or retailers).  Indirect purchasers, which are intermediate sellers (producers, distributors or retailers).  End Consumers.  ‘Counterfactual’ Customers.  Competitors  Suppliers  Firms in Connected markets 11

 The “before-and-after” method  The “yardstick” approach  The cost based approach  Econometric price prediction  Simulation 12

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