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ARTICLE · 22 JUNE 2013

Online retailing competition issues

Online retailers should remember online retailing does not create an exemption from the application of competition laws.

AustraliaAntitrust/Competition Law

Just because it occurs online does not mean the law doesn't apply

The rapid growth of online retailing and the challenges it is bringing for traditional bricks and mortar retailers is well documented. Less well documented is how the law is adapting to this fundamental change in the retail sector. The relative ease with which online trading can be established and performed can lead some traders to ignore some fundamental legal requirements and obligations which must be met if online trading is to be lawfully conducted in Australia. Importantly, this extends to competition laws regulating dealings with, and towards, competitors.

At the same time, some established bricks and mortar retailers can be tempted to react to the competitive tensions that online retailers bring, in ways which may breach competition laws. For online traders and bricks and mortar retailers alike, understanding who your competitors are and your obligations in respect of your dealings with them

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