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ARTICLE · 23 MAY 2014

Ski Manufacturers Hit For Off-Piste Non-Compete

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When it comes to the US Federal Trade Commission, healthy competition for ski manufacturers is just as important off the slopes as on.

United StatesAntitrust/Competition Law
A&O Shearman
A&O Shearman
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When it comes to the US Federal Trade Commission, healthy competition for ski manufacturers is just as important off the slopes as on. Ski equipment makers, Tecnica Group and Marker Völkl, learned this lesson on Monday when they agreed to settle FTC charges that they unlawfully agreed not to compete for each company's respective ski endorsers or employees.1 This case serves as an important reminder that non-compete agreements remain an area of focus for the US antitrust authorities.

Ski Manufacturers Barred from Non-Compete Agreements

In 1992, Tecnica Group and Marker Völkl entered into a legitimate collaboration to market and distribute complementary ski equipment. At the time, Tecnica was an Italian manufacturer of ski boots, and the Swiss-based Marker Völkl sold skis. Around 2004, in conjunction with their collaboration, the companies agreed not to compete with each other for prominent skiers' endorsements.

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