In June 2019, the Office of Competition and Consumer Protection carried out an audit at Jeronimo Martins Polska (JMP), which owns the Biedronka network. He claims that the information and documents obtained at that time gave rise to the company being accused of unfair use of contractual advantage.
The penalty for the fraudulent use of contractual advantage may be up to 3 percent. entrepreneur's annual turnover. Assuming annual sales revenues for them, Biedronka could pay up to PLN 1.5 billion. Last year, it sold goods for EUR 11.69 billion, i.e. approximately PLN 51 billion (according to the current EUR exchange rate – PLN 4.38).
From the information collected during the audit, it appears that JMP obtains two types of discounts in relations with suppliers, in particular fruit and vegetables. The first of these is specified in the contract as a percentage and is used after exceeding the previously determined value of turnover (sales to Biedronka).
The Sweetie Gang. Watch out for the catch in the regulations
The office is concerned by the second discount. Firstly, Biedronka's suppliers do not know its amount, and secondly they are informed about it at the end of the month, after completing the deliveries. Failure to grant this rebate will result in a contractual penalty.
– In our opinion, the practice of the owner of Biedronka stores may constitute a violation of morality and taking advantage of the weaker party to the contract – comments Marek Marekciuk, president of UOKiK.
– Jeronimo Martins Polska has a stronger negotiating position and we suspect that he is using it unfairly. As a result of these activities, the supplier of food products, mainly fruit and vegetables, is not sure whether he will have to grant an additional discount or how big it will be. Thus, when concluding a contract, he does not know how much he can earn – emphasizes Niecharzenia.
The head of UOKiK indicates that this is another activity of the office aimed at improving the situation of farmers. It should be remembered that forcing rebates through the commercial network may cause shifting of price pressure on agricultural producers.
$$$$$And the penalty is to be maximum. Biedronka grew up on the exploitation of employees. Rats and droppings in stores.
57 min ago
pabloIf it's true I have to admit it is not a small shock. It is forcing farmers to lower prices, pushing them to the wall with an economic monopoly.
Iwho is buying in the poor? so you can ignore the topic
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