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Amendments to the Antimonopoly Law: What is Important for Businesses to Know?

In October 2024, amendments were introduced to the Law on Protection of Competition (Federal Law No. 344-FZ dated 14.10.2024).

In addition, the future so-called Sixth Antimonopoly Package (i.e., a package of serious, large-scale amendments to the Law on Protection of Competition) is under discussion.

Let us look at the most important aspects.

The adopted law: what has changed?

• The self-employed are now included in the FAS's field of vision: the concept of "economic entity" has been extended to include the self-employed.
• Clarification of the definition of monopolistically high and low prices: when defining monopolistically high and low prices, the Federal Antimonopoly Service of Russia will not take into account changes in prices on world markets.

This should be taken into account by importers and exporters, as the law does not provide direct exemptions for them. We would like to remind you of the exceptions when the price cannot be considered monopolistically high:

1. The price was determined under conditions of competition or on the stock exchange.
2. The price is set for innovative goods.
3. The price contributes to improving the production or sale of goods, stimulating technical and economic progress, improving the competitiveness of Russian goods on the world market.
4. The goods provide the buyer with advantages that are commensurate with the advantages that the business entity obtains from the high price.

• Warnings in case of planned behavior that may lead to a violation of antitrust law. Now  only reliable information about such plans is sufficient to issue a warning.

The law will come into force from 1 March 2025.

The Sixth Antimonopoly Package: what to expect?

Federal Antimonopoly Service of Russia announced the development of the "Sixth Antimonopoly Package", aimed at:

• Abolition of antimonopoly immunities in intellectual property: according to Federal Antimonopoly Service, this will prevent abuse of exclusive rights and enhance competition in digital markets.

Now "antimonopoly immunity" allows not to apply the prohibition on abuse of dominant position and prohibited agreements on the market to actions for the exercise of exclusive rights (clause 4 of Article 10, clause 9 of Article 11 of the Law on Protection of Competition).

• Regulation of digital platforms: special measures are planned to be introduced to control the activities of social networks, search services and video hosting.

Predictions:

The exact timing of the adoption of the "Sixth Antimonopoly Package" has not yet been determined.

At the same time, there is a feeling that the Federal Antimonopoly Service continues to expand its powers and wants to control the digital environment to a greater extent.

However, rights holders should probably be wary of a narrowing of their freedom to control the market.

MAGENTA Legal lawyers have many years of experience advising on compliance with antitrust law.