Statutory Instrument 1996 No. 348

The Restrictive Trade Practices (Non-notifiable Agreements) (Turnover Threshold) Order 1996

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© Crown Copyright 1996

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1996 No. 348

RESTRICTIVE TRADE PRACTICES

The Restrictive Trade Practices (Non-notifiable Agreements) (Turnover Threshold) Order 1996

The Secretary of State, in exercise of the power conferred upon him by section 27A of the Restrictive Trade Practices Act 1976^[1], hereby makes the following Order:—

Title and commencement
    1.—(1)  This Order may be cited as the Restrictive Trade Practices (Non-notifiable Agreements) (Turnover Threshold) Order 1996.

    (2)  This Order shall come into force on 19th March 1996 and shall apply to agreements made on or after that date.

Interpretation
    2.    In this Order—
"the Act" means the Restrictive Trade Practices Act 1976;


"relevant period" has the meaning set out in paragraph 1 of the Schedule; and


"turnover in the United Kingdom" has the meaning set out in paragraph 2 of the Schedule.

Description of non-notifiable agreement
    3.—(1)  For the purposes of section 27A of the Act, and subject to the provisions of that section, an agreement is a non-notifiable agreement if the parties to it are persons whose aggregate relevant annual turnover in the United Kingdom does not exceed £20 million on the date on which it is made.

    (2)  For the purposes of paragraph (1) above the relevant annual turnover in the United Kingdom of a person party to an agreement shall include the relevant annual turnover in the United Kingdom of any person which on the date the agreement is made is a member of the same group of interconnected bodies corporate as that party.

    (3)  For the purposes of this article, the relevant annual turnover in the United Kingdom of a person in any particular case is—
 (a) where the relevant period equals twelve months, the turnover in the United Kingdom of that person during that period, and
 (b) where the relevant period does not equal twelve months, the amount which bears the same proportion to the turnover in the United Kingdom of that person during that period as twelve months does to that period.

    (4)  In relation to an agreement to which the Act—
 (a) has effect by virtue of section 8 of the Act as if it were an agreement between members of a trade association, or persons represented on the trade association by such members;
 (b) has effect by virtue of section 16 of the Act as if it were an agreement between members of a services supply association, or persons represented on the services supply association by such members;
references in this article to the parties to an agreement include references to those members or persons.

John Taylor,

Parliamentary Under-Secretary of State for Competition and Consumer Affairs, Department of Trade and Industry

19th February 1996

[1] 1976 c. 34; section 27A was inserted by section 10 of the Deregulation and Contracting Out Act 1994 (c. 40). back

Explanatory Note