The Office of Competition and Consumer Protection imposed a fine of PLN 66 million on the Jura company and its contractors

E1386e2583b2939192a9af318b10647c, Biznes Fakty

UOKiK concerning the fine issued to the importer of Jura coffee machines and its retailers UOKiK

The President of the Office of Competition and Consumer Protection, Tomasz Chróstny, reported that due to the illicit agreement, sellers had not independently determined the prices of Jura coffee machines for a decade in a manner conducive to fair competition. Jura Poland along with its four partners: Euro-net (RTV Euro AGD stores), Media Saturn Holding (Media Markt physical stores), Media Saturn Online (Media Markt online shop), and Terg (Media Expert stores) faced fines exceeding PLN 66 million in total.

The Office of Competition and Consumer Protection (UOKiK) announced on Wednesday that their investigation into antitrust activities revealed that Jura Poland and its official distributors, who also acted as retailers, had entered into an agreement that limited competition.

„The businesses collectively established the prices of Jura brand coffee machines, which hindered consumers from purchasing these items at lower costs,” UOKiK clarified.

Jura Poland serves as the exclusive importer of Jura coffee machines.

A penalty exceeding PLN 66 million

– Due to the unlawful agreement, sellers did not independently establish the prices of Jura coffee machines for a period of 10 years in a fair competitive environment. This resulted in consumers being unable to acquire these products at prices lower than those dictated from above. For this market collusion, I have imposed financial penalties totaling over PLN 66 million on the involved parties – stated Tomasz Chróstny, the president of the Office of Competition and Consumer Protection.

According to UOKiK’s report, Terg faced a fine of PLN 30,065,250, Jura Poland was fined PLN 12,212,000, Euro-net received PLN 10,500,450, Media Saturn Online was penalized with PLN 6,772,000, and Media Saturn Holding Polska incurred a fine of PLN 6,549,000. Additionally, the President of UOKiK imposed a penalty of PLN 243,750 on Joanna Luto, the President of the Management Board of Jura Polska at the time of the agreement, who was deemed directly responsible for the illicit arrangements.

The ruling is not definitive and can be contested in the Court of Competition and Consumer Protection.

Evidence

As indicated by the Office of Competition and Consumer Protection, evidence gathered, including during searches at the headquarters of various firms, suggests that the companies reached agreements on minimum resale prices for Jura coffee machines and their accessories. It highlighted that these products could not be purchased for less than the prices established by the importer, applicable to both physical and online stores.

The office noted that the companies also conspired on promotional pricing and sales, as well as the types and values of consumer freebies. „Jura Poland monitored the prices set by distributors and intervened if they attempted to sell coffee machines at reduced prices. It then informed the sellers about possible repercussions, including halting deliveries or terminating the agreement,” UOKiK reported, adding that the distributors themselves also ensured compliance among the other colluding parties.

UOKiK found that information was exchanged via telephone, email, WhatsApp, and text messages. Jura Poland also negotiated pricing agreements during meetings with distributors.

The illicit agreement persisted from at least July 2013 until November 2022. In its inaugural year, the collusion involved Jura Poland, Media Saturn Holding, and Media Saturn Online. Terg joined in 2014, followed by Euro-net in 2019.

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„We contest the unjust decision”, „we categorically deny”

The business editorial team of tvn24.pl sought comments from the penalized companies.

„Our company has consistently operated in full compliance with the law, ensuring transparency and striving to offer our customers the best available market options. We contest the unjust decision made by the Office. The ruling from the President of the Office of Competition and Consumer Protection is not final, and the Company plans to appeal it in the appropriate court,” stated Michał Mystkowski, spokesperson for Media Expert.

„We categorically deny any involvement in the aforementioned agreement and disagree with the office’s conclusions, as they lack factual and evidential support,” replied Maciej Dolega, spokesperson for Media Markt Saturn Polska.

„We want to stress that conducting business in strict adherence to applicable legal regulations, while respecting customer interests and fair competition principles, has been one of the core tenets guiding MediaMarkt throughout its extensive history. Using our rights, we intend to challenge the decision and the imposed penalty in court,” he added.

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