By a resolution adopted at its meeting on March 17, 2026, the Italian Competition and Market Authority (AGCM) imposed a fine of more than 25 million euros on Morellato S.p.A., a well-known Italian company active in the production and sale of mid-range jewelry and watches.
The Authority found that the selective distribution agreements entered into with its network of distributors throughout Italy contained clauses in violation of Article 101 of the TFEU.
The Alleged Conduct
Specifically, the AGCM identified two main violations:
- Prohibition on the use of online marketplaces: Morellato prevented distributors from selling products through third-party platforms (e.g., marketplaces), even though it used those channels—including Amazon.it—directly for its own commercial activities.
- Retail Price Maintenance (RPM): Through an “internet policy,” the company indirectly imposed maximum limits on the discounts that could be offered online, thereby determining resale prices.
Both practices are classified as hardcore restrictions under Regulation (EU) 2022/720 on vertical agreements and, therefore, are not eligible for the block exemption and are prohibited under Article 101 TFEU.
The Preliminary Investigation
The investigation was launched following an anonymous tip received through the AGCM’s whistleblowing platform.
An analysis of the distribution agreement revealed that Morellato employed a selective system based on specific quality standards, applied to both physical retail locations and online sales, which were permitted exclusively through the distributors’ own websites.
In fact, the contract contained an express prohibition on sales through “third-party platforms,” thus constituting the first alleged violation.
During the preliminary investigation, the AGCM found that:
- Marketplaces were a key channel for Morellato’s online sales;
- The company itself recognized their significant ability to reach a wider audience than individual retailers’ websites;
- This was also confirmed by distributors and industry data.
At the same time, Morellato monitored distributors’ online activity—both on their websites and on marketplaces—using specialized software, and took retaliatory measures in cases of noncompliance with pricing guidelines. This effectively constituted a system of indirect resale price maintenance.
The Authority’s Conclusions
At the conclusion of the proceedings, the AGCM found that Morellato had imposed two key restrictions:
1. Indirect resale price maintenance (RPM) through caps on online discounts;
2. Restricting the effective use of the internet by preventing distributors from accessing marketplaces.
As these practices constitute hardcore restrictions, they are automatically excluded from the benefit of the block exemption and are therefore prohibited.
The Regulatory and Interpretive Framework
The Authority also referred to the European Commission’s Guidelines, according to which:
• In selective distribution systems, restrictions on internet use may be imposed;
• however, when the supplier uses marketplaces directly to sell its products, it is difficult to justify imposing similar restrictions on distributors, as they are unlikely to meet the requirements of adequacy and proportionality.
Although Regulation (EU) 2022/720—particularly in light of the case law of the Court of Justice (Coty case, C-230/16)—has introduced a more flexible approach to online restrictions, unjustified or disproportionate restrictions remain prohibited.
The decision in question serves as yet another significant reminder to companies of the critical importance of properly structuring their distribution systems. In an increasingly complex and constantly evolving regulatory environment, the drafting of distribution contracts cannot be approached without a careful analysis of the relevant regulations. It is, however, essential that such agreements be drafted and implemented with the support of experienced professionals who can assess their full compliance with antitrust regulations and prevent the risk of penalties, even those of a significant magnitude. Informed and expert management of the distribution network is not only a safeguard for compliance but also a genuine strategic factor for the protection and growth of the business.
