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Competition Act, 1998 (Act No. 89 of 1998)

Competition Commission Rules

Part 5 - Exemption Procedures

21. Procedures relating to exemption applications (Section 10)

 

1) Upon receiving an application in terms of section 10, the Commission must publish a notice of the application in the Gazette.

 

2) The provisions of section 10(6)(b) apply to a notice published in terms of sub-rule (1).

 

3) The Commission may request further information from any person who submits a representation in response to a notice published in terms of sub-rule (1).

 

4) After considering the application and any submissions or other information received in relation to the application, the Commission must—
a) If the subject matter of the application appears to constitute a prohibited practice in terms of the Act
i) either grant an exemption in terms of section 10(2)(b) by issuing an Exemption Certificate in Form CC 10(1) to the applicant, or refuse to grant an exemption in terms of section 10(2)(c) by issuing a Notice of Refusal to Grant Exemption in Form CC 11(1); and
ii) give written reasons for its decision; and
iii) publish a notice of that decision in the Gazette, setting out the section of the Act in terms of which the exemption was granted; or
b) If the subject matter of the application appears not to constitute a prohibited practice in terms of the Act, advise the applicant in Form CC 9(1) as provided by section 10(2)(a).

 

5) If the Commission issues advice to an applicant in terms of section 10(2)(a) and sub-rule (4)(b) in respect of a particular practice, subject to sub-rule (6),—
a) the Commission may withdraw that advice at any time, by giving the applicant at least 90 days notice of its intention to do so in Form CC 9(2);
b) upon withdrawing its advice to the applicant at any time—
i) the Commission must reconsider the application for an exemption in terms of sub-rule 4(a); and
ii) the applicant must repay any annual fee in respect of that application that has been refunded in terms of Rule 8(3);
c) the Commission must not initiate or accept a complaint against the applicant in respect of the particular practice—
i) without first withdrawing its advice in terms of paragraph (a); or
ii) for anything done by the applicant between the time the advice was given by the Commission and the date of withdrawing the advice.

 

6) If the Commission issues advice to an applicant in terms of section 10(2)(a) and sub-rule (4)(6) in respect of a particular practice, and the Commission subsequently determines to revoke that advice in terms of section 10(5)(a)—
a) The provisions of sub-rule (5) do not apply;
b) the Commission must give the applicant at least 5 business days notice of its intention to do so in Form CC 9(3); and
c) The party who receives a notice of proposed revocation of advice in terms of paragraph (b) may apply to the Tribunal, within 5 business days after receiving that notice subject to its Rules, for an appropriate order.

 

7) If the Commission acts either in terms of sub-rule (5) or (6), it must provide the applicant with the reasons for its action.