Motor Industry Faces Scrutiny Over Competition Law Warning

The motor industry is facing increased scrutiny after the Competition and Consumer Protection Commission (CCPC) warned that some practices may breach competition law.

Further to the CCPC’s recent letter to the industry our Head of Competition, Antitrust & Foreign Investment, Tara Kelly, was interviewed by The Sunday Times.

The letter followed reports of anticompetitive conduct in the sale, maintenance and repair of motor vehicles, including attempts to limit consumer choice and restrict access for independent garages.

Commenting on the CCPC’s warning, Tara said:

“It is a very clear signal from the CCPC that it has serious concerns about the effectiveness of competition in the motor vehicle aftermarket.

Having said that, as with most things context is key and it cannot be automatically assumed that any restriction on an independent garage or operator gives rise to competition concerns. There may very well be very legitimate reasons why a distributor may refuse access to vehicle data or refuse a motor warranty claim.”

The CCPC has asked recipients to provide relevant documents by 6 August. Further action will depend on the responses received.

Contact Tara