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Competition Act, 1998

Rules for the Conduct of Proceedings

Competition Commission Rules 2001

Part 6 - Merger Procedures

39. Breach of merger approval conditions or obligations

 

(1) the Commission may, at any time, investigate whether a firm has breached a merger condition.

 

(2) Following the investigation referred to in sub-rule (1), if the Commission finds that a firm has breached a merger condition, the Commission may issue a Notice Requesting Compliance, in the form CC19, to the firm, within a reasonable period, not less than 10 business days, requiring that firm to:
(a) comply with the merger condition, or
(b) submit a plan, outlining the steps to be taken to comply with the merger condition.

 

(3) Within the period stipulated by the Commission in the Notice Requesting Compliance, a firm referred to in sub-rule (2) must—
(a) comply with the merger condition in line with the Commission’s Notice Requesting Compliance; or
(b) submit a remedial plan outlining the steps to be taken to comply with the merger condition.

 

(4) If a firm has failed to comply with the Notice Requesting Compliance or failed to submit a remedial plan referred to in sub-rule (3)(b) or failed to comply with a remedial plan accepted by the Commission in terms of sub-rule (7)(a) or (b), the Commission may apply to the Tribunal for an order, that a breach has occurred and compelling the firm to comply with the merger condition.

 

(5) The firm shall be entitled to oppose the Commission’s application to compel compliance with the merger condition.

 

(6) If a firm alleges that it has complied with a merger condition, it must place the requisite evidence before the Tribunal to demonstrate compliance with the merger condition.

 

(7) If a firm submits a plan to the Commission in terms of sub-rule (3)(b), the Commission may either—
(a) accept the proposed remedial plan; or
(b) reject the proposed remedial plan and invite the firm to consult with the Commission concerning the breach, with the aim of establishing a plan satisfactory to the Commission by which all of the firm’s obligations with respect to the approval or conditional approval may be satisfied.

 

(8) If the Commission accepts a proposed remedial plan, in terms of either sub-rule (7)(a) or (b), the Commission must monitor the firm’s compliance with the remedial plan and in the event of non-compliance with the remedial plan, may bring an application to compel compliance with the merger condition in terms of sub-rule (4).

 

(9) Following the consultation referred to in sub-rule 7(b), if the Commission is not satisfied with the plan submitted by the firm, the Commission may bring an application to compel compliance with the merger condition contemplated in sub-rule (4).

 

(10) The Commission may act in terms of section 15(1) of the Act to revoke the approval or conditional approval of a merger, or apply to the Tribunal in terms of section 16(3), or section 59 or section 60, only if the firm fails to comply with an order of the Tribunal compelling them to comply with the merger condition following an application in terms of sub-rule (4).

 

[Rule 39 substituted by section (1)(2) of the Amended Rule 39 of the Competition Commission Rules, Notice No. 8005, GG55541, dated 13 October 2026 and will come into effect on 13 October 2026]

 

CC 19 Notice of Compliance