The Czech Antitrust Authority imposed a fine of CZK 1 million (approx. EUR 40,000) on Via FAOC s.r.o. for concluding and implementing prohibited agreements.
Via FAOC, as owner of the Fashion Arena Prague Outlet (FAPO) centre, included in the lease agreements with its tenants at the FAPO a clause preventing the tenants from operating in another outlet centre within a defined geographical radius (60 minutes driving time from FAPO).
The Czech competition authority found that the "radius clause" unlawfully distorts competition on the relevant market for the lease of business premises in outlet centres and, as such, is null and void. In addition to the fine imposed, the NCA requested Via FAOC to inform its tenants about the invalidity of this clause in the lease agreements.