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Guideline on Administrative Fines to be imposed for Agreements, Concerted Practices and Decisions Restricting Competition and Abuse of Dominant Position is Published
- Alper Örnek
- Feb 26
- 2 min read
The Regulation on Administrative Fines to be imposed for Competition Restricting Agreements, Concerted Practices and Decisions and Abuse of Dominant Position (Regulation), which regulates the procedures and principles regarding the determination of administrative fines to be imposed on undertakings, associations of undertakings or members of such associations, as well as their managers and employees, who engage in conduct prohibited under Articles 4 and 6 of the Law No. 4054 on the Protection of Competition, entered into force upon publication in the Official Gazette dated 27 December 2024 and numbered 32765. The Guideline on Administrative Fines to be imposed in case of Agreements, Concerted Practices and Decisions Limiting Competition and Abuse of Dominant Position (Guideline), which includes explanations regarding the implementation of the provisions of the Regulation, was discussed at the session of the Competition Board dated 13.02.2025 and adopted with the decision numbered 25-06/136-RM (3).
The Guidelines include the principles regarding the determination of the administrative fine, the criteria to be taken into account in determining the basic fine rate and the content of these criteria, how the aggravating and mitigating factors will be evaluated in the calculation of the duration of the violation and in determining the final fine rate, the issues to be taken into consideration in discretionary aggravating and mitigating factors, and sample scenarios for the calculation of the administrative fine rate.
Law No. 4054 on the Protection of Competition provides for administrative fines in cases of anti-competitive agreements, concerted practices and abuse of dominant position. The Competition Board may impose a fine of up to 10% of the annual gross revenues of the offending undertakings and associations of undertakings.
The new Regulation, which entered into force on 27 December 2024, is designed to update the penalty policy and increase deterrence and focuses on the following innovations:
The distinction between cartel and other infringements has been removed: A fairer and more transparent penalty calculation method was introduced based on the nature of the violations and their impact on competition.
New criteria were set for the calculation of fines: Fines will be determined by taking into account the duration of the infringement, the market power of the undertakings and the impact of the infringement on competition.
Aggravating and mitigating factors have been expanded: Those who play a decisive role in the infringement will receive higher penalties, while a discount may be applied for cooperating undertakings.
Higher penalties are envisaged in case of repetition: If undertakings that have previously committed violations commit offences again, their penalties will be increased.
While determining the administrative fines to be accrued under the Regulation:
The nature of the breach and the damage caused
Duration of the breach
Aggravating (leading the violation, continuing the violation, etc.) and mitigating (assisting the on-site investigation, being subjected to coercion, etc.) factors
will be taken into consideration.
The new Regulation aims to introduce a more effective and deterrent penalty mechanism against competition violations, while increasing legal predictability and transparency.
Please visit the link below to access the Guideline on the Regulation on Administrative Fines to be imposed in case of Agreements, Concerted Practices and Decisions Restricting Competition and Abuse of Dominant Position.
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