By Yasmine EDDAM
28 April 2025
The term "cartel" often conjures up images of secret meetings where competitors agree to manipulate the market. While this image is not entirely false, the legal reality is more nuanced. Understanding exactly what is meant by an anti-competitive agreement is essential for any company wishing to operate in compliance with the law and avoid potentially heavy penalties. Article L. 420-1 of the French Commercial Code sets out the principle: concerted actions, agreements, express or tacit understandings or coalitions whose purpose or effect is or may be to prevent, restrict or distort competition on a market are prohibited. But what does this definition really mean? What constitutes a cartel under French law? This article deciphers for you the fundamental components of this concept. The need for an agreement At the heart of the concept of a cartel is the idea that the...
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