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Collaboration between NGOs and the Commerce Act

Collaboration between NGOs and the Commerce Act . Health and Disability NGO Sector-MoH Forum 18 April 2013 Lesley Cornish, Health Advocacy Project Manager Nicky Beechey, Chief Advisor, Advocacy & Development. Health advocacy project.

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Collaboration between NGOs and the Commerce Act

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  1. Collaboration between NGOs and the Commerce Act Health and Disability NGO Sector-MoH Forum 18 April 2013 Lesley Cornish, Health Advocacy Project Manager Nicky Beechey, Chief Advisor, Advocacy & Development

  2. Health advocacy project • raising awareness of competition and consumer law in health sector • educative role • fact sheets, presentations, articles

  3. What are we going to cover? • Who are we? • What is illegal? • How to collaborate safely?

  4. Why promote competition?

  5. What kind of agreements are illegal? Substantially Lessen Competition ...in a market in New Zealand

  6. Agreements that SLC • agreement • between any parties • often restrictive in nature

  7. How do you work that out? • What market are you in? • Who are your competitors? • How hard/easy is it for new players to enter the market?

  8. Agreements that fix prices • may directly fix prices • or influence prices: • bid rigging • market sharing • output restrictions

  9. Collaboration – what is safe?

  10. What is your purpose? • extend services? • greater ability to compete? • enter new markets? • compete strongly and increase choice?

  11. Is it anti-competitive? • limit competition? • reduce number of bidders? • reduce choice? • raise prices? • reduce output to harm competition?

  12. Too cautious or too brave?

  13. Mergers • voluntary regime • can apply for clearance • what is the market? • will merger SLC?

  14. Authorisations Where a merger or agreement may result in a Lessening of Competition …but has net benefits

  15. Proposed amendments • collaborative activity exempt from price fixing rule • “reasonably necessary for the purpose of the collaborative activity” • clearance regime – must be satisfied that provision was reasonably necessary and no SLC

  16. Final health check • What is the purpose of your collaboration? • Who are your competitors? • Collaborate with competitors no more than necessary. • Make sure your behaviour reflects your agreement. • If in doubt, seek legal advice.

  17. Contact us CALL the Contact centre on 0800 943 600 WRITE Contact Centre, PO Box 2351, Wellington 6140 EMAIL contact@comcom.govt.nz lesley.cornish@comcom.govt.nz nicky.beechey@comcom.govt.nz VISIT www.comcom.govt.nz SUBSCRIBE www.comcom.govt.nz/subscribe

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