Franklins Pty Ltd - s.87B undertaking

The ACCC's inquiry report published in July 2008 identified concerns that restrictive provisions in lease agreements in respect of supermarket space could restrict the ability of supermarket operators to establish supermarkets in shopping centres.

The ACCC conducted an industry-wide investigation into whether restrictive provisions in lease agreements in supermarket leases could have the purpose and/or effect of substantially lessening competition in a market.

The ACCC was concerned that by including restrictive provisions in lease agreements, supermarket operators may have prevented and/or hindered other supermarket operators from entering and competing in markets for the acquisition of supermarket space and/or retail grocery markets.

Franklins Pty Ltd is a supermarket operator in Australia. Franklins acknowledges the ACCC's concerns in relation to potential anti-competitive effects of restrictive provisions in lease agreements.

To address the ACCC's concerns, Franklins has provided the ACCC with an Undertaking pursuant to section 87B of the TPA.