Important amendments to the Lithuanian Law on Competition
Updated: Apr 12, 2019
On 14 March 2019, the Parliament of Lithuania adopted amendments to the Law on Competition that shall come into force on 1 July 2019.
The experience of the Lithuanian Competition Council (LCC) demonstrates that infringements are evolving into complex arrangements and parties take extensive measures to hide any information regarding their wrong doing. The novelties provided in the law are oriented towards granting additional powers to the authority that should eventually reduce the number of infringements.
One of the changes concerns the right of the LCC to remunerate natural persons that provide valuable information about anti-competitive agreements. The amount of renumeration will be equal to 1% from the aggregate amount of fines imposed on members of the cartel, provided, however, that the minimum amount of compensation my not be less than EUR 1 000 and the maximum amount may not exceed EUR 100 000. The LCC will protect the whistle-blowers identity. Also, the Law foresees certain conditions that need to be fulfilled in order the person could receive the remuneration.
Another novelty is that the LCC will have the right to oblige undertakings to terminate an infringement (prohibited agreement or abuse of dominant position) by applying certain measures related to the infringer’s corporate structure. After the Law comes into force, the LCC will be able to oblige an undertaking eg to sell its shares, property or reorganize the company.