block exemption

Collins dictionary of law. . 2001.


block exemption
This term has a different meaning depending on the context in which it is used:
• In EC competition law, regulations issued by the European Commission, or in certain cases the European Council. If an agreement meets the conditions set out in a block exemption regulation, it is automatically exempt from the prohibition in Article 81(1) of the EC Treaty. Block exemptions have been introduced for certain types of agreement, such as vertical agreements, technology transfer agreements and research and development agreements. In UK competition law, exemptions for particular categories of agreement falling within the Chapter I prohibition of the Competition Act 1998, and will be contained in orders made by the Office of Fair Trading (OFT) . If an agreement meets the conditions set out in the block exemption it is automatically exempt from the Chapter I prohibition. Bloc exemptions are intended to provide legal certainty for businesses. (Block exemptions issued by the Commission, as defined above, may also provide an agreement with an exemption from the Chapter I prohibition by means of a parallel exemption).

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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