Antitrust and Competition
Travelport business activities are subject to antitrust and competition laws in most countries around the world. These laws are intended to promote fair competition and free enterprise by prohibiting activities that unreasonably restrain or inhibit competition, “bring about a monopoly” (in the U.S.), “abuse a dominant market position” (in the European Union “EU”), artificially maintain pricing or otherwise illegally hamper or distort normal commerce.
The laws that apply to you may vary depending on where you work. Some competition laws – such as those in the U.S. and EU – may apply even when the conduct occurs outside the country’s borders.
These laws apply to such diverse activities as marketing, procurement, contracting, and mergers and acquisitions. As an example, these laws specifically prohibit or restrict agreements:
- To fix, coordinate or control prices.
- To allocate or divide up customers, territories or markets.
- To refrain from competing against other market participants wholly, or in some limited fashion.
The antitrust and competition laws also prohibit or restrict certain group boycotts and “tying” arrangements. Unlawful tying may occur when the purchase of one product or service requires the purchase of another, “tied” product or service.
These laws are complex, and their requirements are not always clear. In many jurisdictions, including the U.S. and the EU, violations can lead to severe penalties and damage awards as well as fines and jail sentences in criminal law proceedings. In the EU, fines for anticompetitive behavior can be ten percent of worldwide sales.
If you have any questions about how the antitrust and competition laws apply to a particular situation, seek advice from the Legal Department before taking action.