CAT finds HOKA running shoe brand owner to have infringed the Chapter I prohibition by object

Following a complaint by Up & Running (a retailer of running shoes and other sportswear), the Competition Appeal Tribunal (CAT) determined that Deckers (which supplies HOKA running shoes) operated a distribution system that amounted to a by object infringement of the Chapter I prohibition (and fell outside of the protection of the VBER/VABEO).  

The CAT clarified that a distribution system that does not meet the Metro criteria will not necessarily give rise to an object infringement or fall outside the VBER/VABEO.  However, in this case, it considered that the only objective of Deckers’ distribution policy was to restrict price competition, as opposed to other legitimate aims (e.g., to promote the HOKA brand).  

The CAT also accepted the market definitions and market share estimates produced by RBB Expert, Adrian MajumdarAdrian MajumdarManaging Partner, which demonstrated that Deckers had a low market share as a wholesaler of specialised running shoes in the UK, and that Up & Running accounted only for a small share of purchases in that market.  Adrian worked alongside Iestyn WilliamsIestyn WilliamsPartner, Lucy HoldenLucy HoldenAssociate Principal and Man Kwan MaMan Kwan MaSenior Associate from RBB. 

RBB was instructed on behalf of Deckers by Stobbs.