The Swiss Parliament presents the new regulations against unfair competition and geo-blocking that will enter into force in 2022

The Swiss Parliament presents the new regulations against unfair competition and geo-blocking that will enter into force in 2022

Monday, 18 October, 2021

The Swiss Cartel Act has been amended to include new measures involving relative market power and geo-blocking. Companies should adapt themselves to the latest standards and set up new compliance processes to prevent abusive behavior. According to the newest piece of jurisdiction, those with a comparative market force or a dominating position that sells products or services in Switzerland and abroad must now enable their consumers to buy goods and services in other countries at local market pricing and conditions. 

 

Furthermore, Switzerland has implemented new regulations prohibiting geo-blocking of Swiss customers in long-distance business and e-commerce. Access to a website is restricted based on the user's location (This is generally based on the user's IP address, but it can still be based on the user's account information or shipping address) 

 

On the other hand, consumers in Switzerland must be allowed to acquire products and services at the same prices and terms as local customers in other countries under the new Swiss geo-blocking regulations. 

 

As stated by the new Swiss competition legislation, Long-standing German case law on relative market power will have a significant impact on Swiss case law, as the Swiss notion of relative market power is based on the German relative market power norms, and the following types of reliance will emerge: top position dependency, top group dependency, company-related dependency, scarcity-related dependency, intermediation power and dependence on data.

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