Anticompetitive professional rules to be investigated by the Italian Competition Authority
The Italian Competition Authority (ICA) has recently started an investigation into conduct carried out by the medical professional association of the province of Bolzano, Northern Italy, alleged to restrict competition in the market for commercial communications concerning professional services (case I706- Ordine dei Medici Chirurghi e degli Odontoiatri della Provincia di Bolzano).
In May 2005, well before the enactment of the Bersani Act that in 2006 repealed limitations on the advertising of professional services, a consumer association invited all the dentists established in the province of Bolzano to communicate their fees for certain dental surgery operations for publication on the web site of the association. The medical association, however, strongly opposed to the initiative. First, in May 2005 by a letter sent to all its members, it advised against communicating the above data as that would have amounted to an illegal ad and a breach of professional rules. By a second letter sent in 2008 to the members that had given their assent to the publication of the data, it invited them to withdraw the assent and it also warned them against taking up any initiative incompatible with the professional rules. The tone of the letter was quite aggressive as it threatened the imposition of sanction. Moreover, as an attempt to strengthen the credibility of its intervention, the professional association referred to a previous ICA statement that expressly recognized the peculiarity of the medical profession in enforcement of competition rules.
Yet, the ICA, first decisively denies that it has ever made such statement. Second, it takes the view that the above described letters can be considered as a decision of an association of undertakings with the object or effect to restrain competition and so opens investigation.
That decision comes as no surprise if one looks at the long-standing position of the ICA on the competition impact of the rules of professional bodies limiting the ability of its members to advertise their professional services (see for example, case I669, Ordine dei Medici Veterinari di Torino). Accordingly, the investigation is likely to result in a finding of infringement of Article 2 of the Act 287/90.
In May 2005, well before the enactment of the Bersani Act that in 2006 repealed limitations on the advertising of professional services, a consumer association invited all the dentists established in the province of Bolzano to communicate their fees for certain dental surgery operations for publication on the web site of the association. The medical association, however, strongly opposed to the initiative. First, in May 2005 by a letter sent to all its members, it advised against communicating the above data as that would have amounted to an illegal ad and a breach of professional rules. By a second letter sent in 2008 to the members that had given their assent to the publication of the data, it invited them to withdraw the assent and it also warned them against taking up any initiative incompatible with the professional rules. The tone of the letter was quite aggressive as it threatened the imposition of sanction. Moreover, as an attempt to strengthen the credibility of its intervention, the professional association referred to a previous ICA statement that expressly recognized the peculiarity of the medical profession in enforcement of competition rules.
Yet, the ICA, first decisively denies that it has ever made such statement. Second, it takes the view that the above described letters can be considered as a decision of an association of undertakings with the object or effect to restrain competition and so opens investigation.
That decision comes as no surprise if one looks at the long-standing position of the ICA on the competition impact of the rules of professional bodies limiting the ability of its members to advertise their professional services (see for example, case I669, Ordine dei Medici Veterinari di Torino). Accordingly, the investigation is likely to result in a finding of infringement of Article 2 of the Act 287/90.
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