Trade association of Dutch cable companies NLKabel revises its admission requirements and admission procedure

The Netherlands Competition Authority (NMa) has consulted with NLKabel, the trade association of Dutch cable companies, about its admission requirements and its admission procedure for applicant members.

The admission requirements for becoming a member of NLKabel were not objective, nor was it clear for applicant members in advance what the requirements were, according to the NMa. Furthermore, there was no independent appeal procedure in case NLKabel turned down an application. This opened up the possibility that applicant members could see their membership application be denied on non-objective grounds. NLKabel has subsequently revised its admission requirements and its admission procedures.

These revisions of the admission requirements and admission procedures of NLKabel will result in a situation in which an applicant member now knows which requirements it should meet in order to become a member of NLKabel. Furthermore, NLKabel has set up an independent appeal procedure in case an application is turned down by the board of NLKabel. Both revisions have been incorporated in the bylaws of NLKabel.

Trade association membership can be an important condition, or even a necessary one, for a company to compete in its industry. Trade associations are allowed to set requirements for companies who wish to become a member, provided that the requirements are, among others, open and objective, and that they do not contain any aspects that might impede competition. The NMa document 'Guidelines on Cooperation between Undertakings', which is available online at acm.nl, contains more information on how to set these requirements.

NLKabel, formerly known as VECAI, is the trade association of Dutch cable companies. Being a trade association, NLKabel promotes the interests of its members.