IN RETURN , THE RETAILER UNDERTAKES TO MAINTAIN A COMPETENT REPAIR WORKSHOP AND TO OBSERVE THE RELEVANT TECHNICAL REGULATIONS , OR TO CONTRACT WITH SUCH A WORKSHOP FOR THE CARRYING OUT OF REPAIRS AND ENSURE THAT THIS WORKSHOP OBSERVES THE TECHNICAL REGULATIONS .
C . COMMENTS BY THIRD PARTIES
IN RESPONSE TO PUBLICATION OF A SUMMARY OF THE SABA AGREEMENTS THE COMMISSION RECEIVED COMMENTS FROM A NUMBER OF THIRD PARTIES . IN MOST CASES THE FOLLOWING GENERAL OBJECTIONS WERE RAISED TO EXEMPTION OF SABA'S DISTRIBUTION SYSTEM :
- THE SYSTEM WAS SAID TO IMPEDE PARALLEL TRADE IN SABA PRODUCTS WITHIN THE COMMUNITY ,
- IT TENDED TO LEAD TO RESALE PRICE MAINTENANCE IN DISTRIBUTION ,
- ITS EFFECTS WOULD BE ALL THE MORE DAMAGING IN VIEW OF THE PRECEDENT WHICH EXEMPTION OF THE SABA SYSTEM WOULD SET FOR THE SIMILAR DISTRIBUTION ARRANGEMENTS ESTABLISHED BY MANY OTHER MANUFACTURERS IN THIS BUSINESS .
AMONG INDIVIDUAL CLAUSES OF THE DEALERSHIP AGREEMENTS THAT WERE CRITICIZED WAS THE NEW PROVISION UNDER WHICH WHOLESALERS WERE DELEGATED POWER TO EXAMINE RETAILERS' APPLICATIONS FOR A DEALERSHIP AND TO ADMIT THEM TO THE NETWORK . IT WAS ARGUED THAT THIS RELEASED THE MANUFACTURER FROM HIS ABSOLUTE RESPONSIBILITY FOR KEEPING THE DISTRIBUTION SYSTEM INTACT AND WAS LIKELY TO UNDERMINE IT . CRITICISM WAS ALSO MADE OF TWO CLAUSES IN THE RETAIL DEALERSHIP , NAMELY THE OBLIGATION IN A SPECIALIST DEPARTMENT WITHIN A LARGER OUTLET TO EMPLOY SPECIALIST STAFF WORKING ONLY IN THAT DEPARTMENT AND THE REQUIREMENT UPON RETAILERS GENERALLY TO ADVISE AND SERVICE THEIR CUSTOMERS WITH " TECHNICALLY TRAINED STAFF " . ON THE LATTER POINT SABA HAS SINCE CHANGED THE WORDING OF THIS CLAUSE ( SEE B 3 ( A ) ) TO MAKE IT CLEAR THAT IT DOES NOT IMPLY THAT ONLY TRAINED RADIO AND TELEVISION TECHNICIANS CAN BE EMPLOYED IN SALES , BUT ANY SPECIALIST SALES STAFF POSSESSING THE NECESSARY PROFESSIONAL AND TECHNICAL KNOWLEDGE TO SERVE CUSTOMERS . THE OTHER OBJECTIONS ARE NOT CONSIDERED VALID BY THE COMMISSION FOR REASONS THAT WILL BE EXPLAINED IN THIS DECISION .
II . LEGAL ASSESSMENT
A . APPLICABILITY OF ARTICLE 85 ( 1 ) OF THE EEC TREATY
1 . THE AGREEMENTS SABA HAS CONCLUDED OR PROPOSES TO CONCLUDE WITH THE WHOLESALERS AND RETAILERS OF ITS PRODUCTS ARE AGREEMENTS BETWEEN UNDERTAKINGS WHICH HAVE AS THEIR OBJECT OR EFFECT THE RESTRICTION OF COMPETITION WITHIN THE COMMON MARKET AND WHICH MAY AFFECT TRADE BETWEEN MEMBER STATES .
2 . UNDER ITS EEC DEALERSHIP AGREEMENTS WITH SPECIALIST WHOLESALERS AND RETAILERS , SABA UNDERTAKES NOT TO SUPPLY DEALERS WHO DO NOT BELONG TO ITS DISTRIBUTION NETWORK . SABA DEALERS , FOR THEIR PART , ARE FORBIDDEN TO SUPPLY DEALERS WHO HAVE NOT BEEN ADMITTED TO THE NETWORK BY SABA OR A SABA WHOLESALER .
IN THE PRESENT CASE THESE OBLIGATIONS CONSTITUTE A RESTRICTION OF COMPETITION BECAUSE IN ORDER TO BE ADMITTED TO THE NETWORK DEALERS MUST NOT ONLY SATISFY CERTAIN GENERAL PROFESSIONAL CRITERIA BUT MUST ALSO BE PREPARED TO MEET OTHER SPECIAL REQUIREMENTS PERTAINING