• The President of UOKiK instituted proceedings against Radaway and its Chief Commercial Officer.
• The company might have been fixing prices of bathroom fixtures and fittings in an unauthorised manner for nearly 10 years.
• As a result, consumers may have been deprived of the opportunity to purchase these products at a lower price.

Radaway is a manufacturer and, since 2016, a wholesaler of Radaway brand bathroom fixtures and fittings. These include, but are not limited to, shower cabins, shower bases, bath screens or linear shower drains.

Evidence held by the President of UOKiK, obtained during a search, indicates that Radaway may have been fixing the prices at which its products were to be sold in online stores independent of Radaway since at least 2016. According to the law, each vendor who is an independent trader should independently determine the prices of products based on individual economic calculations. Top-down price fixing by a distributor is illegal and results in the inability to buy products on the market at prices cheaper than those set by the prohibited agreement.

Radaway was able to coordinate the activities of online stores and check whether they adhere to resale price arrangements. It could also discipline store owners who wanted to sell Radaway products at cheaper prices. The consequences then could include the loss of discounts. Stores could also watch their own prices and let Radaway know if they noticed cheaper products from their competitors.

One of the Radaway executives was also charged with an antitrust law violation. Among other things, he may have supervised the use of imposed prices and disciplined online stores, including by deciding whether to reduce discounts for those who charged prices lower than the top-down prices.

The effects of the suspected collusion may have been detrimental to those decorating a bathroom or planning a renovation. If the suspicions are confirmed, it will mean that it was impossible to buy Radaway products cheaper than at the prices set by the company.

“Outfitting a bathroom is one of the biggest expenses when renovating or finishing a house or apartment. That’s why consumers are looking for products at favourable prices from various traders. In this case, they may have been deprived of the opportunity to choose Radaway brand fixtures and fittings at competitive prices, as they may have been the result of market collusion,” says Tomasz Chróstny, President of UOKiK.

An enterprise involved in a competition-restricting agreement faces a fine of up to 10% of its revenue. The managers responsible for entering into the price-fixing arrangement face a fine of up to PLN 2 million.

Severe penalties for participation in collusion can be avoided by taking advantage of the leniency scheme. It offers businesses involved in an illegal agreement and managers responsible for entering into a collusion arrangement an opportunity to reduce a sanction or, in some cases, avoid it altogether. It is intended for those who agree to cooperate with the President of UOKiK as a “crown witness” and provide evidence or information regarding the existence of a prohibited agreement. We encourage those interested in the leniency scheme to contact the Office at a dedicated phone number: 22 55 60 555. UOKiK staff will answer any questions about the leniency programme, including anonymous ones.

We also remind you that we operate a programme to obtain information from anonymous whistleblowers. Do you wish to inform UOKiK about competition-restricting practices? Visit https://uokik.whiblo.pl/ or scan the QR code below and use the simple form. The system we use guarantees complete anonymity, including from UOKiK itself.