Changes In The Competition Law Procedure In The Czech Republic

The Czech Chamber of Deputies has recently passed a long expected draft of an amendment to the Act on Protection of Competition (the "Act"). The major change to the Act consists of the adoption under Czech law of a legal basis for the leniency programme and settlement.

The leniency programme, which is an important tool in the detection of a cartel, was put in place in 2001, and in 2007 was amended to reflect current practice within the EU. The principle of the programme is to cancel, or reduce penalties for cartel participants who cease the illegal practice and provide the Competition Office with information about the cartel in which the participant was involved. The information provided must be of an important nature which enables detection and destruction of the cartel, or information which provides specific and significant evidence regarding ongoing investigations into the cartel.