Boycott eBay

The ACCC has responded to my complaint with the following letter:

Dear Sir/Madam,

Thank you for your email to the Australian Competition and Consumer Commission (ACCC) concerning the recent exclusive dealing arrangement proposed by eBay International.

The role of the ACCC is to ensure compliance with the Trade Practices Act 1974 (TPA), which is designed to encourage fair trading and discourage anti-competitive conduct through a specific set of competition and consumer protection rules. It is only when there is a contravention of the TPA that there may be a role for the ACCC.

As you are aware, on 10 April 2008, eBay announced that:

• as of 21 May 2008, all items listed for sale on eBay.com.au must offer PayPal as one of the payment methods; and
• as of 17 June 2008, all items listed for sale must only offer payment via PayPal (or credit card transactions processed by PayPal) or cash on delivery.

On 11 April 2008, eBay International AG lodged an exclusive dealing notification with the ACCC in relation to the above conduct, which provides eBay with immunity under the TPA from this date.

The ACCC has commenced a consultation process in relation to the notification. People who wish to raise concerns about the notified conduct should lodge a public submission via adjudication@accc.gov.au by 2 May 2008.

The ACCC can take steps to remove the immunity conferred by the notification if it is satisfied that:

• the proposed conduct will result in a substantial lessening of competition;
• the public benefit that may result from the proposed conduct would not outweigh the detriment to the public caused by the lessening of competition.

Further information, including a copy of eBay’s notification, can be found at the ACCC’s exclusive dealing notifications register, by going to www.accc.gov.au and following the “public registers” and “authorisations and notifications registers” links.

Thank you for contacting the ACCC with your concerns. I trust this information is of assistance.

Yours sincerely

ACCC Infocentre
1300 302 502