The new Vertical Block Exemption Regulation 2022/720
(VBER) and accompanying 2022 Vertical Guidelines (replacing the
2010 Vertical Guidelines) impact all types of distribution in and
into the European Union, at all levels of the distribution
chain.
The long-awaited revised VBER and Vertical Guidelines entered
into force in June 2022. The VBER provides a competition law
"safe harbor" for vertical agreements
falling within its scope. If a vertical agreement is covered by
the VBER, no further competition law analysis is required, and the
agreement is enforceable throughout the European Union
If an agreement falls outside of the scope of the VBER, an
individual assessment under Article 101 of the Treaty on the
Functioning of the European Union (TFEU) is required to determine
whether or not it may infringe Article 101(1) TFEU and, if so,
whether or not it can be justified under Article 101(3) (the
effciency defence). Infringing agreements are entirely or