Monopoly in the market and the intervention of the Competition Council in Romania: What affected companies can do and the lawyer’s role in the procedure

Anti-competitive practices and dominant position: How companies defend themselves and what risks competition investigations involve in Romania

The functioning of a market economy is based on the existence of a sound competitive environment in which economic operators carry out their activity under conditions of equality and transparency. In Romania, the legal framework is governed primarily by Competition Law no. 21/1996, supplemented by the relevant European rules. Under these regulations, anti-competitive agreements, as well as the abusive use of a dominant position on the market, are prohibited, while the main powers for enforcing these provisions belong to the national authority, namely the Competition Council in Romania. In practice, the analysis of the activity of a commercial company involves assessing the market structure, market share and the impact on competition in order to determine whether competition has been restricted or distorted. Thus, it is particularly important to understand what the Competition Council in Romania does, namely the investigation, sanctioning and monitoring of compliance with competition law. This article examines monopoly and dominant position, the procedure for notifying the Competition Council in Romania, the lawyer’s role in investigations and the legal consequences of breaching competition rules.

In this context, Pavel, Margarit and Associates Romanian Law Firm provides specialized legal services in the field of commercial, corporate and competition law, offering full legal assistance in proceedings before the competent authorities, in commercial disputes in Romania, and in the process of compliance with competition law. Furthermore, legal assistance from a commercial lawyer in Romania is essential from the very stage of business development, including processes such as company incorporation in Romania, set up a company in Romania, including set up a limited company online in Romania, or register a limited company in Romania, as well as start a business in Romania or register your company in Romania with the Trade Registry, in order to ensure a solid legal structure and compliance from the outset with the legal requirements applicable to the competitive environment. In practice, these steps also involve incorporation services in Romania, decisions to incorporate a business in Romania, and, in certain structures, even offshore company formation in Romania, depending on the business model and the applicable legal framework.

Business lawyer in Romania. What monopoly and dominant position mean in competition law: Definitions and legal criteria

In competition law, the notion of monopoly is not, in itself, prohibited, but the legal framework expressly sanctions the abusive use of a dominant position. Under Article 6 of Competition Law no. 21/1996, it is prohibited for one or more undertakings to abuse a dominant position held on the Romanian market or on a substantial part thereof. This provision is fully consistent with Article 102 of the Treaty on the Functioning of the European Union, which provides that conduct affecting trade and competition is incompatible with the internal market, such as the imposition of excessive or unfair prices, limiting production, applying discriminatory conditions or unjustifiably refusing to contract. From this perspective, the focus is not on the existence of the dominant position itself, but on the manner in which it is exercised in relation to the other market participants.

Determining the existence of a dominant position requires a complex analysis of the relevant market, which includes both the product or service dimension and the geographic area. In practice, the authority assesses criteria such as the undertaking’s market share, its economic power, its ability to influence market conditions, access to essential resources, the existence of barriers to entry for other operators and the degree of dependence of customers or suppliers. A commercial company may legitimately acquire such a position, including as a result of economic efficiency or a sound development strategy, but the legal risk arises when that position is used to eliminate competition or distort the market, contrary to competition law.

In addition, Article 4 of Law no. 21/1996 regulates situations in which competition is restricted or even excluded, including where a monopoly exists, allowing state intervention through price-control measures or other regulatory instruments. These provisions underline that certain markets may operate under special conditions, but they remain under close supervision, and the intervention of the authorities is meant to prevent major imbalances and protect the public interest. In this context, it is important to understand what the Competition Council in Romania does, namely monitoring markets, analysing the conduct of undertakings and applying the measures necessary to restore a normal competitive environment.

From a practical perspective, every commercial company must carry out its activity in compliance with competition law, including with regard to pricing policies, contractual relations and business strategies. Even at the initial stage, namely when seeking to register your company in Romania with the Trade Registry, it is advisable for economic operators to be aware of their legal obligations in competition matters, since the subsequent development of the business may lead to the acquisition of a relevant position on the market, with significant legal implications.

A competition lawyer in Romania may provide specialized legal assistance in analysing market position, identifying risks of non-compliance and implementing internal policies aligned with the applicable legislation, thus helping protect the interests of a commercial company. At the same time, a competition lawyer in Romania, and an unfair competition lawyer in Romania may work together with a business lawyer in Romania, a commercial lawyer in Romania, and a corporate lawyer in Romania to ensure legal representation before the Competition Council in Romania, draft defence submissions and manage the company’s relationship with the authority during investigations, thereby facilitating a strategic and effective approach to safeguarding the rights of a commercial company.

Competition Council in Romania lawyer in Romania. Notifying the Competition Council in Romania: the procedure, required evidence and legal strategy

The procedure for notifying the Competition Council in Romania is an important legal instrument through which any economic operator may report the existence of anti-competitive practices. This procedure is governed by Law no. 21/1996, which grants the authority the power to analyse complaints, carry out a preliminary examination and decide, depending on the merits of the matter, either to open an investigation or to close the case. Under the powers conferred by law, the Competition Council in Romania is entitled to request information in writing, conduct inspections, including unannounced inspections at the premises of undertakings, and communicate the investigation report, all of which are decisive stages in establishing the existence of a breach of competition law. In concrete terms, the procedure involves a detailed analysis of the relevant market and the conduct of economic operators, and it is important to understand specifically what the Competition Council in Romania does, namely assessing the impact on the competitive environment and restoring it where infringements are found.

For a notification to be effective, it must be based on a clear presentation of the facts and on compelling evidence. A commercial company filing a complaint must correctly identify the relevant market, describe the conduct considered anti-competitive and demonstrate its negative effects on competition. In practice, evidence may include commercial agreements, correspondence between business partners, pricing policies, economic analyses or market studies. It is also important to emphasize that any economic operator has the right to notify the authority when affected by anti-competitive conduct.

Legal strategy plays a decisive role in the success of a notification, as an incomplete or insufficiently substantiated complaint may lead to its dismissal. In this respect, a structured approach is necessary, combining legal and economic arguments, given that the analysis carried out by the Competition Council in Romania is complex and multidisciplinary. Furthermore, during the procedure the authority may request additional information or may broaden the scope of the investigation, which requires careful and continuous management of the case file.

A commercial lawyer in Romania and a business lawyer in Romania may provide legal assistance in drafting the notification, structuring the evidence, defining the legal strategy and representing the company before the authority, thereby contributing to the protection of the rights of a commercial company and to the effective use of the mechanisms provided by competition law. In the same procedural context, an unfair competition lawyer in Romania, a competition lawyer in Romania, and a company incorporation in Romania lawyer may assist in aligning the evidentiary strategy with the company’s commercial structure and in reducing the risk of future exposure before the Competition Council in Romania.

Commercial lawyer in Romania. The lawyer’s role in competition investigations: Defence, compliance and representation before the authorities

Investigations carried out by the Competition Council in Romania are among the most complex administrative procedures in economic law, having a direct impact on the activity and stability of a commercial company. Pursuant to Law no. 21/1996, the authority has the competence to open investigations when there are indications of breaches of the provisions relating to anti-competitive practices or abuse of dominant position, in particular those laid down in Articles 5 and 6 of the law. In these procedures, the Competition Council in Romania may order requests for information, conduct unannounced inspections, analyse companies’ internal documents, and prepare and communicate the investigation report. Subsequently, the authority may adopt decisions establishing a breach of competition law, impose corrective measures or accept commitments from undertakings in order to restore the competitive environment.

From a legal perspective, the procedure involves respect for the rights of defence of the undertakings under investigation, including access to the case file and the possibility to submit observations on the investigation report. In addition, under the legal provisions, the Competition Council in Romania may impose measures proportionate to the gravity of the infringement, including behavioural or structural obligations intended to eliminate anti-competitive effects. In this context, a commercial company must manage its relationship with the authority with utmost care, since any action or omission may influence the outcome of the investigation. Companies must be prepared to respond promptly to the authority’s requests and to demonstrate compliance with competition law.

The risks associated with an investigation are significant, since the finding of an infringement may lead to the imposition of a fine by the Competition Council in Romania, calculated according to the undertaking’s turnover, as well as to important reputational and commercial consequences. Moreover, the authority’s decisions may subsequently be used in civil proceedings for the recovery of damages, which amplifies the legal impact on a commercial company. In this respect, the implementation of internal compliance programmes and staff training become decisive for risk prevention, especially for companies in growth stages or those that have acquired a significant market position.

A corporate lawyer in Romania may provide legal assistance throughout the entire investigation, including during inspections and in organising internal documentation, taking into account the particularities of each commercial company, regardless of whether it was formed through company incorporation in Romania, set up a limited company online in Romania, or offshore company formation in Romania. In addition, a competition lawyer in Romania may handle the formulation of the defence, the drafting of observations on the investigation report and the analysis of the company’s economic conduct, including for operators in business-development stages such as start a business in Romania or starting up your own business in Romania, in order to ensure compliance with the applicable legislation. A commercial lawyer in Romania, and an unfair competition lawyer in Romania may work together with a company incorporation in Romania lawyer and a business incorporation lawyer in Romania to represent the company before the Competition Council in Romania and negotiate any commitments, including for entities organised under various legal forms after set up a company in Romania, register a limited company in Romania, or incorporate a business in Romania, thereby helping protect the interests of the company in competition proceedings.

Company lawyer in Romania. Sanctions, damages and court actions: How companies can protect their rights against abuse of dominant position

Breaches of competition rules entail significant legal consequences, regulated mainly by Law no. 21/1996, which grants the Competition Council in Romania the power to establish and sanction anti-competitive conduct. According to the legal provisions, the authority may adopt decisions establishing the existence of a breach of Article 5 (anti-competitive agreements) or Article 6 (abuse of dominant position) and may impose administrative sanctions consisting of fines calculated as a percentage of the undertaking’s turnover. Thus, a fine imposed by the Competition Council in Romania may have a major impact on the activity of a commercial company, both financially and in terms of market reputation. At the same time, the authority may impose corrective measures, including behavioural or structural obligations, intended to bring the infringement to an end and restore the competitive environment.

In addition to administrative sanctions, the legal framework also allows the enforcement of rights before the courts of law. Decisions of the Competition Council in Romania may be challenged before the competent administrative court within the statutory time limit, which gives undertakings the possibility to contest the legality and merits of the measures imposed. In parallel, persons or economic operators harmed by anti-competitive practices have the right to bring actions for damages in order to recover the loss suffered, on the basis of general civil law. Thus, an affected commercial company may seek full compensation for its loss, including loss of profit, which gives the courts an important role in complementing the administrative mechanisms provided by competition law.

In practice, it is particularly important for every commercial company to understand the implications of compliance with competition rules and to implement preventive measures. Clear knowledge of the authority’s powers and of the legal mechanisms available is necessary in order to avoid sanctions and to react effectively in the event of anti-competitive practices. In addition, the proper management of commercial relations and internal policies may significantly reduce the risk of litigation and sanctions.

“In competition matters, the distinction between the legitimate exercise of a strong market position and abuse of dominant position must be made with legal rigour, since commercial conduct that appears justified at first sight may trigger sanctions, corrective measures and litigation with a significant impact on a company’s activity.” stated Dr. Radu Pavel, Managing Partner of Pavel, Margarit and Associates Romanian Law Firm.

In conclusion, monopoly and dominant position must be analysed through the lens of the obligations imposed by competition law, which aims to maintain a balance between economic freedom and the protection of the competitive environment. The intervention of the authority plays an important role in identifying and sanctioning anti-competitive practices, but the protection of the rights of a commercial company does not stop there and continues before the courts of law. In this context, prevention, compliance and prompt legal reaction are essential elements for any economic operator. Therefore, Pavel, Margarit and Associates Romanian Law Firm recommends seeking the assistance of a  competition lawyer in Romania, while also involving a business lawyer in Romania, an unfair competition lawyer in Romania, a business incorporation lawyer in Romania, and, where appropriate, a competition lawyer in Romania, in order to obtain specialized legal assistance in all matters related to competition law, commercial disputes in Romania, company structuring, company incorporation in Romania, and the protection of commercial interests before the Competition Council in Romania.

Pavel, Margarit and Associates Law Firm is one of the top law firms in Romania, providing high-quality legal services. The firm’s clients include multinational and domestic companies of great magnitude. In 2026, the law firm’s success stories brought it international recognition from the most prestigious international guides and publications in the field. As a result, Pavel, Margarit and Associates Law Firm ranked 3rd in Romania in the Legal 500’s ranking of business law firms with the most relevant expertise. The law firm is internationally recognized by the IFLR 1000 Financial and Corporate 2026 guide. Additionally, Pavel, Margarit and Associates Law Firm is the only law firm in Romania recommended by the international director of Global Law Experts in London in the Dispute Resolution practice area. All relevant information about Pavel, Margarit and Associates Law Firm can be found on the website www.avocatpavel.com.