{
  "url": "https://openlegislation.uk/competition-act-1998/section-16",
  "json_url": "https://openlegislation.uk/competition-act-1998/section-16.json",
  "legislation": "ukpga/1998/41",
  "legislation_title": "Competition Act 1998",
  "legislation_url": "https://openlegislation.uk/competition-act-1998",
  "path": "section/16",
  "kind": "section",
  "number": "16",
  "heading": "Effect of a decision that the Chapter I prohibition has not been infringed.",
  "text": "(1) This section applies to an agreement if the OFT has determined an application under section 14 by making a decision that the agreement has not infringed the Chapter I prohibition.\n(2) The OFT is to take no further action under this Part with respect to the agreement unless—\n(a) it has reasonable grounds for believing that there has been a material change of circumstance since it gave its decision; or\n(b) it has a reasonable suspicion that the information on which it based its decision was incomplete, false or misleading in a material particular.\n(3) No penalty may be imposed under this Part in respect of any infringement of the Chapter I prohibition by an agreement to which this section applies.\n(4) But the OFT may remove the immunity given by subsection (3) if—\n(a) it takes action under this Part with respect to the agreement in one of the circumstances mentioned in subsection (2);\n(b) it considers that it is likely that the agreement will infringe the prohibition; and\n(c) it gives notice in writing to the party on whose application the decision was made that it is removing the immunity as from the date specified in its notice.\n(5) If the OFT has a reasonable suspicion that information—\n(a) on which it based its decision, and\n(b) which was provided to it by a party to the agreement,\nwas incomplete, false or misleading in a material particular, the date specified in a notice under subsection (4)(c) may be earlier than the date on which the notice is given.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Ss. 12-16 ceased to have effect (1.5.2004) by virtue of The Competition Act 1998 and Other Enactments (Amendment) Regulations 2004 (S.I. 2004/1261), reg. 1(a), Sch. 1 para. 9 (with reg. 6(2))"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Words in s. 16 substituted (1.4.2003) by Enterprise Act 2002 (c. 40), s. 279, Sch. 25 para. 38(13); S.I. 2003/766, art. 2, Sch. (with art. 3) (as amended (20.7.2007) by S.I. 2007/1846, reg. 3(2), Sch.)"
    },
    {
      "type": "C",
      "label": "C1",
      "text": "S. 16 applied (with modifications) (1.3.2000) by S.I. 2000/263, art. 7"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/1998/41/section/16",
    "retrieved_at": "2026-10-28T17:12:29.340800+00:00",
    "licence": "OGL-UK-3.0",
    "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
    "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
  }
}