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NFRN & ACS Launch Joint Legal Challenge Against OFT

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Published by: Joe Lenane | Published Date: 1st May 2012

The NFRN and ACS have launched a joint legal challenge to the Competition Appeal Tribunal, against the OFT’s decision to deny a further short review of the news industry.

In a move unprecedented in the history of the news industry, the NFRN and ACS have today launched a joint legal challenge to the Competition Appeal Tribunal, against the OFT’s decision to deny a further short review into newspaper and magazine distribution. on the grounds that the review fails to meet the OFT’s prioritisation principles.

The NFRN and ACS are jointly challenging the rationale behind the OFT’s decision which, according to the retail associations, appears to rely on evidence from publishers and wholesalers that they believe to be faulty, whilst evidence provided by the retail side appears not to have been fully taken into account.

NFRN National President Kieran McDonnell said: “The NFRN has been fighting for justice for its members for more than 15 years through the Competition Authorities and the continued failings in the industry are too serious not to pursue this Appeal. How else are we to achieve the radical change that is necessary to the way we are supplied in order to stem declining sales and reverse falling standards that is preventing us from providing a better service offer to customers? 

“So long as the OFT fails to act they continue to support a market that is rife with anti competitive practices. This legal action is the latest step in our ongoing fight for fairness and equality in serving our customers.”

ACS Chief Executive James Lowman said: “We do not take this action lightly, however the OFT have left us with no choice. We cannot accept their rationale for why an industry valued at £7bn, that serves millions of customers every day; that operates as a monopoly and is wasteful and inefficient is not a priority.”

The case was presented to the Competition Appeals Tribunal on 1st May 2012.

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