10. March 2014

IP and Competition Law Newsletter – Federal Administrative Court Takes a Tough Stance against Sealing Off of Swiss Market

In a recent decision, the Federal Administrative Court confirmed that Swiss antitrust laws apply to vertical restraints whose effects are felt in Switzerland, even if such restraints originate in another country. Passive sales restrictions sealing off the Swiss market are considered to be unlawful even if there remains significant interbrand competition and notwithstanding the quantitative effect of the restriction. Although this finding does not come as a surprise, it reminds manufacturers which are relying on independent distributors to market their products to pay attention that the terms and conditions of their distribution agreements comply with the applicable antitrust regulations. (read more)