When Can a Supplier Lawfully Restrict Active Sales in an Exclusive Distribution Agreement?

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In its recent judgment in Beevers Kaas (Case C‑581/23), the European Court of Justice (ECJ) clarified how suppliers may validly restrict active sales in exclusive distribution arrangements under Article 4(b)(i) of the Vertical Block Exemption Regulation (VBER). The ECJ confirmed that such restrictions must be grounded in an express or tacit agreement between the supplier and all affected distributors.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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