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ARTICLE · 28 JULY 2017

Canadian Competition Tribunal Adopts Effects-Based Jurisdiction For Reviewable Conduct

Davies Ward Phillips & Vineberg LLP
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The territorial scope of section 90.1 and similar reviewable conduct provisions of the Act had not previously been expressly addressed in a contested Tribunal decision.

CanadaAntitrust/Competition Law
John Bodrug
John Bodrug
Charles Tingley
Charles Tingley
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On July 24, 2017, the Canadian Competition Tribunal dismissed a jurisdictional challenge by HarperCollins to an application by the Commissioner of Competition for an order prohibiting the implementation of an alleged agreement between HarperCollins and several other e-book publishers. The Commissioner commenced his application in 2016 under section 90.1 of the Competition Act (Act) alleging that (1) in 2010 HarperCollins Publishers LLC (HarperCollins US) formed an arrangement in the United States with other publishers of e-books and Apple Inc. to change the wholesale distribution model used for the sale of e-books to an agency distribution model, (2) the parties intended to and did implement the arrangement in Canada, and (3) the arrangement substantially restricted retail competition for e-books in Canada.

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