Cooper Grace Ward is proud to announce prestigious international legal research firm Chambers & Partners has listed lead litigation and dispute resolution partner Rocco Russo and his team in its ...
In line with the ACCC’s new enforcement priorities, Peters Ice Cream has been penalised $12 million after admitting to engaging in exclusive dealing with a major transport provider.
Following the commencement of proceedings by the Australian Competition and Consumer Commission (ACCC), Australasian Food Group (trading as Peters Ice Cream) has been penalised $12 million by the Federal Court for engaging in anti-competitive conduct.
Peters Ice Cream is a major manufacturer of single-wrapped ice cream and frozen confectionary products. Peters Ice Cream has historically partnered with PFD Food Services in order to transport these products.
The ACCC’s allegations concerned an agreement between Peters Ice Cream and PFD for the supply of products to various Australian convenience and petrol retailers.
The agreement, which operated from November 2014 to December 2019, required PFD to obtain Peters Ice Cream’s consent to sell or distribute any single-wrapped ice cream or frozen confectionary products that competed with Peters Ice Cream’s products in various regional areas throughout Australia.
Peters Ice Cream admitted that this amounted to exclusive dealing, which had the likely effect of substantially lessening competition in the market for the supply by manufacturers of single-wrapped ice cream and frozen confectionary products in Australia. This conduct constituted a contravention of section 47(1) of the Competition and Consumer Act 2010 (Cth).
In addition to imposing a $12 million penalty, the Federal Court ordered Peters Ice Cream to establish a compliance program and pay a $250,000 contribution to the ACCC’s legal costs.
This case serves as an important reminder that the ACCC is actively pursuing matters in accordance with their compliance and enforcement priorities for 2022/23, which include targeting exclusive arrangements involving entities that possess market power.
Businesses should review their supply arrangements to ensure they do not contravene Australia’s anti-competition laws.
Please contact our corporate advisory team if you wish to discuss any of the matters contained in this article.
This publication is for information only and is not legal advice. You should obtain advice that is specific to your circumstances and not rely on this publication as legal advice. If there are any issues you would like us to advise you on arising from this publication, please let us know.
Subscribe to our interest lists to receive legal alerts, articles, event invitations and offers.
Cooper Grace Ward acknowledges and pays respect to the past, present and future Traditional Custodians and Elders of this nation and the continuation of cultural, spiritual and educational practices of Aboriginal and Torres Strait Islander peoples.
Fast, accurate and flexible entities including companies, self-managed superannuation funds and trusts.