Unit 5 Cooting Road, Aylesham Industrial Estate, CT3 3EP
New Block Exemption Regulation. The block exemption regulations are updated regularly to create competition among the Member State of the European Union. According to a White Paper by Dr.Jai Ganesh, Dr. Srinivas Padmanabhuni and Anandhi r, "Changes to the block exemption regulations (BER) are meant to increase competitiveness in the automobile retail industry in Europe" In October 2002 a BER was passed into law and it came fully into effect in October 2003. The regulation was passed into law because the preceding law did not cover adequately some key point. The October 2002 BER focused on new automobile sales, after-sales and distribution. The preceding BER did not cover the following points adequately.
- Competition between dealers of the same brand
- Problems occurring for cross-border sales
- Competition in the after-sales servicing
- The need to strengthen dealers’ position vis-à-vis manufacturers
Recently, in May 2010 a new law has passed by the European Commission Competition legislatives and it came into effect from June 1, 2010.