Question 1

What is a competition exemption?

Accepted Answer

Under the UAE Competition Law, an exemption means that a particular agreement, practice, or conduct that could otherwise be considered restrictive of competition may be allowed because it meets specific conditions set by the law.

Question 2

What conditions must be met to obtain an exemption?

Accepted Answer

If you want to apply for an exemption, you must demonstrate that your business agreement is beneficial to the economic environment. It may contribute to economic development, improves production or distribution, strengthens competitiveness, promotes technical or technological progress, or provides benefits to consumers.

Question 3

How will the exemption application be assessed?

Accepted Answer

After an initial review of the application and supporting documents there will be a substantive assessment of whether the legal conditions for granting an exemption have been satisfied.

Question 4

Can an approved exemption be cancelled?

Accepted Answer

Yes. An exemption may be cancelled if the circumstances or reasons for granting it no longer exist, the applicable conditions or requirements are not met, or the approval was based on misleading or incorrect information.

Question 5

Can the exemption be approved subject to conditions?

Accepted Answer

Yes. The application may be approved, conditionally approved, or rejected in accordance with the applicable legal provisions.

Question 6

Can an exemption be granted if the agreement restricts competition?

Accepted Answer

Yes. An exemption may be granted even where an agreement or practice restricts competition, provided that the restriction is necessary and proportionate to achieving the relevant economic or consumer benefits and does not completely eliminate competition in the relevant market.

Apply for an exemption