Ireland’s Competition and Consumer Protection Commission (CCPC) has formally adopted a new Declaration and an accompanying Notice concerning vertical agreements and concerted practices. The updated regulatory framework follows a comprehensive review of the CCPC’s previous 2010 rules and a public consultation process designed to modernize how businesses handle supply chain and distribution contracts under Irish competition law.
Vertical agreements represent contracts between businesses operating at different levels of the production or distribution chain, such as agreements between manufacturers, wholesalers, and retail outlets regarding how goods or services are purchased, sold, or resold. While antitrust laws generally prohibit agreements that restrict competition, the Competition Act 2002 grants the CCPC the authority to create safe harbors. Through this new Declaration, the regulator outlines specific categories of vertical agreements that are officially exempt from the national prohibition against anti-competitive practices, providing businesses with legal certainty.
A primary driver behind this regulatory update is the need for international harmonization. In June 2022, the European Commission revised its own Vertical Block Exemption Regulation (VBER), which governs supply chain competition across the European Union. By updating its 2010 framework, the CCPC ensures complete consistency between European Union antitrust regimes and Irish national law, reducing compliance friction for companies operating both locally and across European borders.
While the legally binding Declaration outlines the strict parameters required to qualify for an exemption, the newly published Notice serves as a practical, informal guide. This guidance document is designed to help businesses independently assess their distribution networks, pricing policies, and supply contracts to confirm they safely align with the new standards.
In terms of timing, the new regulatory framework applies for an extended period, remaining in force until December 31, 2034. To ensure a smooth transition for the business community, the CCPC has established transitional arrangements for existing supply chain contracts. Active agreements that were executed before the enforcement date and fully complied with the old 2010 framework will remain protected under a grace period, giving companies ample time to review and adjust their distribution strategies to align with the modernized rules.
