| Definition of sales: Active sales: DEFINITION Sales made by actively approaching individual customers inside another distributor's exclusive territory or exclusive customer group by for instance direct mail or visits, or by actively approaching a specific customer group or customers in a specific territory allocated exclusively to another distributor through advertisement in media or other promotions specifically targeted at that customer group or customers in that territory, or by establishing a warehouse or distribution outlet in another distributor's exclusive territory. Clauses limiting a distributor's right to sell actively into another distributor's territory are usually part of exclusive distribution networks and can benefit from the block exemption for vertical agreements. Passive sales: DEFINITION Sales in response to unsolicited requests from individual customers including delivery of goods or services to such customers. Sales generated by general advertising or promotion in media or on the Internet that reaches customers in other distributors' exclusive territories or customer groups, but is at the same time a reasonable way to reach customers outside those territories or customer groups (for instance in non exclusive territories or in one's own territory), are normally considered passive. Restrictions on passive sales in vertical agreements are hard core restrictions and fall outside the Commission's block exemption regulation on vertical restraints. See: Commission Regulation 2790/99 on the application of Article 81(3) of the Treaty to categories of vertical agreements and concerted practices (OJ L 336, 22.12.1999) |
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