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Mall Holdings Ltd/Bookneeds [1993] IECA 134 (13th October, 1993)
Notification
No: CA/235/92E - Mall Holdings Ltd/Bookneeds Ltd
Decision
No: 134
Introduction
1. Notification
was made by Bookneeds Limited on 30 September, l992 with a request for a
certificate under Section 4(4) of the Competition Act, l99l or, in the event of
a refusal by the Competition Authority to issue a certificate, a licence under
Section 4(2), in respect of an agreement relating to a lease between Mall
Holdings Ltd and Bookneeds Ltd.
The
Facts
(a) Subject
of the Notification
2. The
notification concerns the lease of shop unit No. 23 at the Crescent Shopping
Centre, Dooradoyle, Limerick, and a unit in the Parkway Shopping Centre, Dublin
Road, Limerick between Mall Holdings Ltd as landlord and Bookneeds Ltd as tenant.
(b) The
parties involved
3. Bookneeds
Ltd trades as a Newsagent with outlets in the Crescent Shopping Centre and the
Parkway Shopping Centre, both in Limerick. Mall Holdings Ltd is engaged in the
letting of shop units at the Crescent Shopping Centre.
(c) The
notified arrangements
4. No
lease was notified. The agreement notified is contained in a copy of an extract
from a letter from Mall Holdings Ltd dated 3 November 1987 addressed to a Mr.
Mc Donagh at Unit 29 Crescent Shopping Centre which states
".....I
wish to confirm the following:-
1.
........
2. That
Mall Holdings Ltd will not permit another Retail Newsagency within the Crescent
Shopping Centre.
3. That
with regard to your Unit at the Parkway Shopping Centre it is not our intention
to have a second Newsagency in that Centre...."
Assessment
- The Applicability of Section 4(1)
5. The
Authority considers that Bookneeds Ltd and Mall Holdings Ltd are undertakings
and that the notified agreement is an agreement between undertakings. The
agreement has effect within the State.
6. The
Authority considers that the notified agreement and its restricted and
exclusive user provision does not have the object or effect of preventing,
restricting or distorting competition in trade in any goods or services in the
State or in any part of the State, for the reasons given in the Notice of the
Authority of 2 September 1993 in respect of shopping centre leases (Iris
Oifigiuil 10 September 1993 pp.665-667). The Authority therefore considers
that the notified agreement between Mall Holdings Ltd and Bookneeds Ltd does
not offend against Section 4(1) of the Competition act, l99l.
The
Certificate
7. The
Competition Authority has issued the following certificate:
The
Competition Authority certifies that in its opinion, on the basis of the facts
in its possession, the agreement between Mall Holdings Ltd and Bookneeds Ltd
in relation to the lease of premises at the Crescent and Parkway shopping
centres, notified under Section 7 on 30 September 1992 (notification no.
CA/235/92E), does not offend against section 4(1) of the Competition Act, l99l.
For
the Competition Authority
Des
Wall
Member
13
October 1993
© 1993 Irish Competition Authority
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URL: http://www.bailii.org/ie/cases/IECompA/1993/134.html