The Competition Authority on 23 September 2009 published its Notice in Respect of Collective Action in the Community Pharmacy Sector. The Notice provides guidance on the application of Irish and European competition law to collective action by community pharmacy contractors, and other health professionals, when engaging with the Health Services Executive (HSE).

In particular, it clarifies the limits competition law places on coordinated action by self-employed health professionals in relation to key competitive factors such as fees. The Notice also takes account of the Financial Emergency Measures in the Public Interest Act 2009 and the decision of the Minister for Health and Children to alter remuneration of pharmacy contractors under this legislation from 1 July 2009.

In October 2008, the Competition Authority conducted a public consultation on Collective Action in the Community Pharmacy Sector, seeking input on ways in which health professionals, providing services for or on behalf of the State, might engage collectively with the HSE in compliance with competition law. The consultation concluded on 28 November 2008. Four substantive submissions were received in response – from the HSE, the Irish Pharmacy Union, the Pharmaceutical Distributors Federation and the Association of Optometrists Ireland; these are reproduced here.

Following conclusion of the consultation and assessment of the submissions received, the Competition Authority was minded to publish this Notice, pursuant to section 30(1)(d) of the Competition Act 2002 (“Act”). This provision makes it a statutory function of the Competition Authority to publish notices containing practical guidance as to how the provisions of the Act may be complied with. Notices set out the considered views of the Competition Authority relating to a particular area of competition law, and are provided for guidance purposes only. It is ultimately a matter for the courts to decide whether or not a breach of the Act has occurred.