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Denmark: FK Distribution abused its dominant position

Christian Fernsby |
The Danish Competition Appeals Tribunal has decided that FK Distribution has abused its dominant position.

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Topics: DENMARK    FK DISTRIBUTION   

Deputy Director General of the Danish Competition and Consumer Authority, Bitten Thorgaard Sørensen: "As the only nation-wide distributor of print circulars in Denmark, FK Distribution has a special responsibility not to restrict competition.

"However, FK Distribution used its market power on the market for distribution of unaddressed mail (print circulars) in Denmark to gain a competitive advantage, not based on its own merits, on the relatively new, but growing market for digital platforms for circulars in Denmark."

In June 2020, the Danish Competition Council decided that FK Distribution abused its dominant position by tying its sale of distribution of print circulars in Denmark with its sale of viewing of circulars on its digital platform in Denmark. FK Distribution obliged its customers of print circulars to advertise and to pay for advertising via FK Distribution’s digital platforms, among others “minetilbud”.

As of 1 January 2018, FK Distribution was the only nation-wide distributor of print circulars in Denmark. The Danish Competition Council found that FK Distribution abused its dominant position from 2018 until October 2019.

In June 2020, the Danish Competition Council decided to report the case to the State Prosecutor for Serious Economic and International Crime for criminal prosecution.


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