1. What constitutes a dominant position?

A dominant position is an exceptional situation where an economic entity, whose market share exceeds the thresholds specified in the Competition Code, is able to limit or influence competition in the relevant market independently of its competitors and customers due to its superior market power. This includes the ability to change the general rules and conditions of product circulation, create barriers to market entry, or drive competitors out of the market.

2. What are the cases of abuse of dominant position?

• The following conduct may constitute abuse of dominance:
• Imposing unfair purchase or selling prices, including excessive or predatory pricing;
• Limiting production, markets, or technical development (including the introduction of new technologies) to the prejudice of consumers;
• Making the conclusion of contracts subject to acceptance of supplementary obligations unrelated to the subject matter of the contract;
• Conditioning the sale of one product upon the purchase of another (tying) and/or requiring the purchase of goods bundled with mandatory assortments;
• Forcing counterparties to grant preferential treatment to the dominant undertaking; • Unjustified refusal to deal or enter into contracts;
• Selling goods below cost without objective economic or technological justification (predatory pricing);
• Denying competitors access to essential facilities or other key resources;
• Applying dissimilar conditions to equivalent transactions with other trading parties, thereby placing them at a competitive disadvantage (discriminatory practices);

Other forms of conduct which restrict or distort competition are here.

3. Functions of the State Agency for Antimonopoly and Consumer Market Control under the President of the Republic of Azerbaijan

The Agency is vested with the following powers in enforcing competition law:

• Monitoring compliance with competition legislation;
• Granting approval, in cases and under procedures prescribed by law, for the establishment, reorganization, or liquidation of legal entities, including those owned by the state or municipalities;
• Reviewing notifications and applications concerning economic concentrations, and granting clearance — either conditional or unconditional — or refusing authorization;
• Conducting market analysis, identifying dominant undertakings, and submitting proposals to ensure the preservation of competitive conditions where dominance thresholds are exceeded;
• Detecting and eliminating cartel agreements and other anticompetitive collusion;
• Taking measures where agreements, concentrations, or external activities of domestic undertakings in cooperation with foreign persons distort competition in the domestic market;

4. How to apply to the Agency regarding violation of competition legislation? You can report a violation of antimonopoly legislation to the State Service as follows:

Any person may submit a complaint to the Agency concerning suspected infringements of competition law through one of the following channels:

• Electronically via the Agency’s official website (www.competition.gov.az) in the “Application, Complaint, Proposal” subsection link;
• By email to office@competition.gov.az with the required supporting documents;
• In person at the Agency’s premises (Address: 84 Uzeyir Hajibeyli Street, Government House, Entrance 7, Sabail District, Baku).

Requirements for submission:

• The complainant must provide original or duly notarized copies of documents and materials substantiating the alleged violation; The complainant must demonstrate that the infringement adversely affects his or her legitimate interests; The application must include information identifying the complainant and the undertaking(s) complained of, a clear description of the claims, and an explanation of the facts constituting the alleged violation. 

Note: documents in foreign languages must be accompanied by a complete and accurate notarized translation into Azerbaijani.