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UNFAIR COMPETITION: NEW RULES

UNFAIR COMPETITION: NEW RULES

Last updated: 28 May 2015


UNFAIR COMPETITION: NEW RULES


Law no. 11/1991 against unfair competition sanctions unfair practices of legal or natural persons, which are detrimental to fair practices and to the general principle of good faith, thus harming the free market. Law no. 117/2015 (published in the Official Journal no. 335 of May 22, 2015) approved Government Ordinance no. 12/2012 amending Law no. 11/1991 and introduced new rules regarding unfair competition. Today’s article comprises a brief presentation of the procedures to be followed before Romanian courts by those affected by unfair competition and of the measures to be taken by the judges.


PROCEDURES BEFORE NATIONAL COURTS


Law no. 117/2015 introduced a new article, providing the procedure to be followed before national courts for settling unfair competition cases.

Firstly, it provides that any person with a legitimate interest can address the competent courts in order to request the termination and the interdiction of unfair competition practices, as well as to request compensation for the pecuniary and moral damages incurred, without having to perform any other formality before the Competition Council. The competent court is the County Court in whose jurisdiction the act of unfair competition was performed or in whose jurisdiction the defendant’s registered office / residence is located.

In accordance with the new regulations, in order to prevent an imminent damage, the competent courts can decide, in an emergency procedure, the termination or interdiction of any unfair competition practice, until a final ruling in the case.

If the County Court’s ruling is final, the victim can ask the Competition Council to publish on its website a press release mentioning the coordinates of the guilty entity, the act of unfair competition committed by such entity, as well as the measures taken by the judge in order to sanction the act.

Moreover, the competent judge can oblige the guilty party (which, according to the law, can be a legal, but also a natural person) to publish the Court’s Ruling in a wide-circulation newspaper, at its own expense.



JURISDICTION FOR THE ANNULMENT OF AN OFFENCE NOTICE


Acts of unfair competition, such as the denigration of a competitor or of the products / services thereof, the misappropriation of clients by a former / present employee, as well as any unfair practice contrary to fair practices and good-faith principles, which cause or can cause damages to participants to the free market, are considered offences and are punished by a fine up to 10,000 Lei for natural persons and 50,000 Lei for legal persons.

Until now, the offence notice could be appealed based on common law rules, which granted jurisdiction to the District Court where the offence was committed.

From now on, by way of derogation, jurisdiction belongs to the 1 st District Court, Bucharest, and the complaint can be filed within 15 days from the communication of the offence notice.


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