The Australian Competition and Consumer Commission has granted authorisation to David Jones Ltd to continue to invite retail brand management businesses operating within its stores to participate in certain promotions such as storewide and department-wide discounts.
A number of merchandise suppliers operate separate businesses within David Jones stores (called retail brand management businesses, or 'concessions'). These 'stores within stores' are run independently of David Jones. Without authorisation, agreements between these businesses and David Jones regarding promotional offers could potentially raise concerns under the Trade Practices Act 1974.
The ACCC's decision in respect of this matter affirms its draft decision issued last month.
The arrangements do not allow for any broader agreement between David Jones and concession businesses regarding the price of goods and services sold in David Jones stores.
In September 2008 the ACCC granted re-authorisation to Myer in respect of similar arrangements.
Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Trade Practices Act 1974. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment. The ACCC conducts a comprehensive public consultation process and issues a draft determination before making a decision to grant or deny authorisation.
The ACCC has granted authorisation until 12 March 2014. The ACCC's determination will be available from the ACCC website.
Media inquiries: Mr Brent Rebecca (02) 6243 1317 or 0408 995 408
