In March 2001 the ACCC received a complaint that existing cinema operators had entered into arrangements or understandings to oppose market entry and/or expansion by other cinema operators.
It was alleged that Greater Union Organisation Ltd (Greater Union) and Village Roadshow Ltd (Village) entered into arrangements or understandings to take joint action to prevent competition in the cinema exhibition market in contravention of the Act.
Following discussions between Village and the ACCC, and without admitting that any of its conduct constituted a contravention of the Act, Village agreed to give undertakings which are intended to reduce the risk of collaboration with other cinema exhibitors to jointly oppose entry into and/or expansion within cinema exhibition markets. Two directors have each agreed to give undertakings on their own behalf to bolster the undertakings given by Village.
As part of the undertakings, Village has agreed to keep the ACCC informed of significant developments in the industry which may be of interest to the ACCC.
The ACCC has agreed to accept these undertakings as part of the conclusion to its inquiries.
