Booking.com abuse of dominance

17.01.2022 | 15:03

Ruling

Ruling No. АД/115711-ДСП/20 on the case No. 11/01/10-41/2019 dated December 29, 2020 [1]

Parties

Complainant –All-Russian Non-Governmental Organization of Small and Medium Business "OPORA RUSSIA"

Defendant – Booking.com B.V.

Jurisdiction

Federal Antimonopoly Service

Type

Abuse of dominance

Fine

1.3 billion RUB

Remedies

Remedies No. АД/115763/20 on the case No. 11/01/10-41/2019 dated December 29, 2020 [2]

 

Infringement decision

In December 2020, FAS completed antitrust investigations in relation to accommodation (hotels, hostels, etc.) aggregator Booking.com B.V., following a complaint by an NGO that defends the rights of small and medium-sized enterprises (OPORA RUSSIA). [3]

The authority determined that Booking.com abused its dominant position in the Russian market for the provision of services by aggregators of information about accommodation facilities and imposed a record fine in the amount of 1.3 billion RUB. [4]

Booking.com imposed on accommodation facilities broad and narrow parity clauses in terms of both prices and terms of provision of services. This meant that they could not offer better deals on their own websites, competing platforms and other sales channels than on Booking.com. FAS decided that this practice restricts competition and harms the interests of accommodation facilities.[5]

FAS started infringement proceedings after Booking.com ignored its warnings sent in November 2019[6] and September 2020 [7] requesting to remove the clauses.

 Courts’ decisions

In August 2021, Booking.com appealed the requests to remove the clauses and the infringement decision to Moscow Arbitration Court but the court upheld the FAS’s ruling and remedies.

Booking.com appealed decision of the Moscow Arbitration Court to Ninth Arbitration Court of Appeal but in November 2021 the court rejected the complaint and upheld the decision of the court of first instance.[8]

 Compliance with the remedies

In December 2021, Booking.com complied with the imposed remedies and terminated application of parity clauses in the Russian Federation.[9]

 


[1] Ruling No. АД/115711-ДСП/20 on the case No. 11/01/10-41/2019 dated December 29, 2020, available at: https://br.fas.gov.ru/ca/upravlenie-regulirovaniya-svyazi-i-informatsionnyh-tehnologiy/cdf15018-ef29-40e8-acbd-d39edc8aee39/?query.

[2] Remedies No. АД/115763/20 on the case No. 11/01/10-41/2019 dated December 29, 2020, available at: https://br.fas.gov.ru/ca/upravlenie-regulirovaniya-svyazi-i-informatsionnyh-tehnologiy/84e7607f-8d6d-4d98-b479-bb2741d632cc/?query.

[3] See "FAS Russia recognized the company Booking.com violated the antimonopoly legislation", available at: http://en.fas.gov.ru/press-center/news/detail.html?id=55116.

[4] See "FAS Russia fined Booking.com B.V. by 1.3 billion RUB", available at: http://en.fas.gov.ru/press-center/news/detail.html?id=55261.

[5] Ibid.

[6] See "FAS requested Booking.com to exclude parity", available at: http://en.fas.gov.ru/press-center/news/detail.html?id=54555.

[7] See "FAS Russia issues second warning to Booking.com", available at: http://en.fas.gov.ru/press-center/news/detail.html?id=55006.

[8] See ‘The Court rejected the Booking.com’s appeal in the antimonopoly case’, available at:  http://en.fas.gov.ru/press-center/news/detail.html?id=55324.

[9] See ‘Booking.com complied with the remedies imposed by FAS to cease the parity clauses’, available at: http://en.fas.gov.ru/press-center/news/detail.html?id=55325.

Ruling on the case No. 110110-412019 (Booking.com)
(PDF, 674.864 Kb)
Remedies on the case No. 110110-412019 (Booking.com)
(PDF, 112.479 Kb)

Site Map

News & Events Press Releases Image Library About FAS Russia What We Do Institutional Memory Mission, Goals, Values Priority Setting Stakeholders Engagement Center for Education and Methodics Our History Our Structure Powers of Head and Deputy Heads Our Ratings Using our website International Cooperation Treaties & Agreements OECD Competition Committee OECD meetings 2013 OECD meetings 2014 OECD meetings 2015 OECD meetings 2016 OECD meetings 2017 OECD meetings 2018 OECD meetings 2019 OECD meetings 2020 OECD meetings 2021 FAS Annual Reports OECD-GVH RCC RCC Newsletter Projects ICAP Council on Advertising Headquarters for Joint Investigations UNCTAD 15th session IGE UNCTAD 16th session IGE UNCTAD 17th session IGE UNCTAD 18th session IGE UNCTAD 8th UN Conference on Competition 19th session IGE UNCTAD 20th session IGE UNCTAD 21th session IGE UNCTAD EEU Model Law on Competition ICN BRICS BRICS Conferences Documents BRICS Competition Law and Policy Centre BRICS Working Groups for the Research of Competition Issues in Socially Important markets Working Group for the Research of Competition Issues in the Pharmaceutical Markets Working Group for the Research of Competition Issues in the Food Value Chains Working Group for the Research of Competition Issues in the Automobile Markets Working Group for the Research of Competition Issues in the Digital Markets BRICS Coordination Committee on antimonopoly policy EU APEC Competition Policy and Law Group Annual meetings Projects ERRA Full Members Organizational Structure Document Library Legislation Reports & Analytics Cases & decisions COVID-19 Contacts Give feedback Contact us Links Authorities Worldwide