Regulatory bodies must apply the principle of equal treatment in
all steps leading to the imposition of a penalty. What does this
mean? It means that regulators must treat parties that are in a
comparable position equally, unless a difference in treatment can
be objectively justified. If a regulator does not apply this
principle, it runs the risk that its decisions will be challenged.
A recent English Court of Appeal decision1 illustrates
this.
WHAT HAPPENED?
The case concerned an investigation by the UK Office of Fair
Trading (OFT) into infringements of competition
law, specifically the retail pricing of tobacco products.
The appellant companies signed early resolution agreements with
the OFT admitting certain infringements of competition law and
received reduced penalties. The OFT later issued a decision which
made findings of infringement against them, as well as other
companies, including a company called TMR. However, due to
assurances given by the OFT to
