Block Exemption Regulation

Vertical agreements in the motor industry are agreements made by two economic entities operating on different levels of distribution and manufacturing.

Initially, this issue was regulated for the entire European Union by Commission Regulation (EC) No 1400/2002 of 31 July 2002 on the application of Article 81 (3) of the Treaty to categories of vertical agreements and concerted practises in the motor vehicle sector which introduced unified subject regulations as regards purchase, sale or resale of new motor vehicles and the aftermarket for goods and services for motor vehicles. Shortly after announcement of the Regulation, Poland decided to issue a local act regulating this issue exclusively on the Polish market. This act was Regulation of the Council of Ministers of 28 January 2003 on exemption of specified vertical agreements in the motor vehicle section from the prohibition of restrictive practises. Generally speaking, provisions laid down by this regulation were almost the same as those of the EC Regulation.

In consideration of the fact that Regulation No 1400/2002 was issued for a specified period of time until 31 May 2010, on 27 May 2010 the Commission issued Regulation No 461/2010 on the application of Article 101(3) of the Treaty on the functioning of the European Union to categories of vertical agreements and concerted practises in the motor vehicle sector. This Regulation introduced a separate legal regime for the new vehicle market as well as the aftermarket of goods and services for motor vehicles. In line with its provisions, the new vehicles market will be subject to regulations provided under Regulation No 1400/2002 until 31 May 2013, whereas provisions provided under general Commission Regulation (EC) No 330/2010 of 20 April 2010 on the application of Article 101 (3) of the Treaty about the functioning of the European Union to the category of vertical agreements and concerted practises shall be applicable from 1 June 2013.

The aftermarket for goods and services for motor vehicles will be subject to provisions of Regulation No 330/2010 and guidelines issued by the European Commission from 1 June 2010.

Alike in the case of the previous EC Regulation, Poland has also decided to enforce another regulation applicable exclusively to the Polish market. Its provisions are laid down in Regulation of the Council  of Ministers of 8 October 2010 on exclusions of specified vertical agreements in the motor vehicle sector from prohibition of restrictive practises, which integrates regulations provided under Regulation No 1400/2002 with those of Regulation No 461/2010 with minor exceptions.