Two-minute Recap of Recent Developments in Turkish Competition Law - March 2024
1 Investigation Launched
25 Mergers & Acquisitions
7 Cases Closed:
2 Settlement
2 Commitment
3 Fines imposed
Turkish Competition Board cracks down on IT labour market collusion
On 6 March 2024, the Turkish Competition Board (“Board”) announced the conclusion of its full-fledged investigation into potential violations of Turkish competition law through informal agreements (known as “gentleman’s agreements”) not to recruit each other’s employees. As a result, IT and software undertakings Egemsoft, Ericsson, Etiya, Innova, i2i, Netaş, Pia and Turkcell were imposed administrative fines totalling approximately EUR 2.6 million.
Betting company Nesine.com ordered to end exclusive deals
On 6 March 2024, the Board announced the conclusion of its probe into Nesine.com’s use of exclusivity clauses in agreements, potentially violating Turkish competition law.
The Board found that Nesine.com abused its dominant position in the Turkish virtual sports betting market by:
- Entering into exclusive advertising, promotion and sponsorship agreements with sports clubs.
- Entering into exclusive agreements for pitch advertising with sports clubs.
- Making exclusive advertising service agreements with Maçkolik, a sports app.
As a result, the Board imposed a fine of approx. EUR 2.2 million and ordered Nesine.com to remove exclusivity clauses from existing agreements and refrain from including them in future agreements.
Ferrero proposes commitments to resolve hazelnut market investigation
On 14 March 2024, the Board announced the conclusion of its examination into Ferrero’s practices in the hazelnut market, spanning all levels from production to export. The investigation closed after Ferrero offered specific commitments, the details of which will be available in the forthcoming reasoned decision.
Another investigation against Yemeksepeti
On 22 March 2024, the Board announced the conclusion of the preliminary investigation into Yemeksepeti, Delivery Hero's company in Turkey. The investigation examined whether Yemeksepeti violated Turkish competition law by requiring its own courier service for its online food ordering platform and potentially making it difficult for member businesses to operate. As a result of the preliminary investigation, the Board determined there was adequate evidence to launch a full-fledged investigation.
Egg carton producers reached a settlement
On 6 March 2024, the Board announced that it concluded its investigation into whether the undertakings operating in the egg carton production sector violated Turkish competition law. The Board announced that the investigation process was concluded at the end of separate settlement processes with all undertakings and a total administrative fine of EUR 1.6 million was imposed.
Cosmetics investigation concludes with commitments and settlement
On 21 March 2024, the Board announced the conclusion of probe whether Oriflame, a Swedish-Swiss cosmetics company, violated Turkish competition law through resale price maintenance (RPM), internet sales restrictions, and customer restriction.
Oriflame's commitments to address concerns about internet sales and customer restrictions were accepted by the Board. However, RPM is considered a hardcore violation under Turkish competition law. Unlike internet sales and customer restrictions, which can be resolved through commitments, there is no option to propose commitments for RPM investigations. Instead, RPM practices can be settled through a formal procedure. Accordingly, Oriflame reached a settlement with the Board, accepting its infringement. The company received a reduced fine of EUR 130,000, reflecting a 25% discount for its settlement.
Cartel in the honey sector is fined
On 7 March 2024, the Board announced that Altıparmak, a honey producer/supplier operating under the Balparmak brand, violated Turkish competition law through the exchange of competitively sensitive information with Sezen Gıda, which operates under the Anavarza brand.
The Board decided to fine Altıparmak approximately EUR 70,000.
Sezen Gıda, accepted that it had exchanged competitively sensitive information with Altıparmak and received a reduction as they reached a settlement with the Board and received an administrative fine of approximately EUR 14,328.