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The prevention of parallel imports and exports by Tipp-Ex 15 According to the Commission's findings, Tipp-Ex took, at least between and , active measures to prevent parallel imports or exports within the Community.

It also exerted pressure on its exclusive distributors in order to obtain their agreement and support. This is clear from the parties' conduct as established by the investigation.

As these goods were not sold in a third country in breach of the agreement between the two firms and as some of them ultimately appeared on the German market, Tipp-Ex made further deliveries to ISA France dependent on that firm's giving detailed information on destinations and recipients.

When Tipp-Ex found out about this, it sent several telexes not only to , but also to Burotex, Esveha-Rijam and Tipp-Ex Leslie McLean in order to prevail upon the exclusive distributors to endorse the business policy pursued by Tipp-Ex, which was not to supply parallel importers in order thus to achieve absolute protection of the contract territories allotted.

The Commission's findings in this respect are set out in points 19 to 24 below. Tipp-Ex also stated in the telex that, for its part, it would supply no exporter in the Federal Republic who could not prove with the help of forwarding documents that the goods had actually been sent to the third county concerned, and that, because of parallel imports, it had decided to affix a special country code to every consignment.

The telex ends with the sentence: 'We hope that you are able to help us to cut out the parallel market. The telex asks whether it makes sense for an exclusive distributor thus to place his distributorship in jeopardy, and states that action will be taken.

In the period that followed there was a lengthy interruption of relations between ISA France and which lasted, according to the information in the Commission's possession, throughout In the course of that year, ISA France was able to obtain Tipp-Ex goods from a German wholesaler who, for fear of reprisals by Tipp-Ex, exported the consignments in a disguised form.

Tipp-Ex states, however, that the termination was due to the fact that did not satisfactorily fulfil its sales promotion obligations, and in particular achieved too low a turnover with French wholesalers.

That 's inadequate sales performance did constitute one of the grounds for termination is apparent from the file on a civil action brought by Tipp-Ex against in Buying through third dealers is not comparable to buying direct from an exclusive distributor because a further profit margin then results.

The complainant maintains that BDF tesa practised price discrimination against it and that since 2 March it has been unable to obtain any further Tipp-Ex products from BDF tesa.

This happened after ISA France had threatened action by 'a European body' because BDF tesa had not informed it of a particularly favourable special offer.

In fact, in response to subsequent enquiries by ISA France mainly in April and June , BDF tesa made offers on terms which it proposed only to the most efficient wholesalers.

For all that, ISA France did not avail itself of these offers. Moreover, out of a total of 65 articles in the Tipp-Ex product range, ISA France bought only three, all fast-moving merchandise.

Although it is impossible on legal grounds to stop supplies, special prices should no longer be applied. Finally, on 2 August Beiersdorf gave its subsidiary strict instructions to stop supplying ISA France on special terms as the latter had not adhered to its undertaking not to export Tipp-Ex goods.

Special terms should be granted only to big customers who were known not to export. It is also apparent that Beiersdorf expressed readiness to support Tipp-Ex in this endeavour.

This understanding can be inferred inter alia from the fact that Beiersdorf sent a copy of the abovementioned letter to BDF tesa of 2 August to the owner of Tipp-Ex.

The British company, for its part, did not reply. The Commission has been unable to establish that Tipp-Ex took action at that time to induce the exclusive distributors to adopt such an attitude.

Tipp-Ex declined to execute the order, referring to its exclusive distribution agreement with Beiersdorf. The Commission has been unable, however, to establish with sufficient certainty that in this connection and at that time there was any concerted action between Tipp-Ex and Esveha-Rijam.

VIHO did not take up the offer as it considered the prices to be excessive. With regard to the behaviour of these exclusive distributors, the Commission has not found sufficient grounds for concluding that Tipp-Ex took action in connection with VIHO's enquiries to induce the exclusive distributors not to give any quotations.

Its knowledge of the law was limited to what it understood to be its civil law obligation towards the exclusive distributors to protect the exclusive distribution system.

It is from what he said and from the correspondence with Beiersdorf on the subject that Tipp-Ex first learned of the competition law issues.

However, doubt set in after it learnt of the notice, and it decided to submit the authorized dealer contract to the Commission, but put off doing so in view of the impending investigation by the Commission.

Tipp-Ex was convinced that in every respect it acted lawfully and with due regard to legitimate interests. The lawyer also advised Tipp-Ex during the drafting of the exclusive distribution agreement and during the negotiations with BDF tesa, assuring it that the contested Articles 14 and 20 of the standard contract were unobjectionable.

In the final draft contract then sent by Tipp-Ex to Beiersdorf on 20 July , the amendments to Articles 14 and 20 proposed by Beiersdorf were omitted.

This was not noticed, however, by any of Beiersdorf's employees. This explanation, which Beiersdorf gave in its answer to the Statement of Objections of 2 June and in the hearing on 18 September , does not convince the Commission.

It is clear from the record of the hearing that the persons acting for Beiersdorf at the signature of the final text knew which text they were signing and what its content was.

On 11 September Tipp-Ex made known its intention of reapplying for negative clearance. The partly oral, partly written agreements between Tipp-Ex and these exclusive distributors and dealers, including the 'authorized dealer contracts', are agreements within the meaning of that Article.

The written agreements were entered into with the content set out in Articles 14 and The signatories were aware of the content of the agreement and were willing to commit themselves accordingly.

The measures which Tipp-Ex has taken at least since in the exercise and on the basis of its contractual relations with its exclusive distributors and dealers in order to prevent parallel imports into the Member States of the Community are to be considered an integral part of those agreements.

An agreement was entered into between Tipp-Ex and its authorized dealers. All authorized dealers adopted Tipp-Ex's ideas regarding the mutual protection of territories and hence these became an integral part of the agreement.

It is immaterial whether or not that business policy coincides with the dealers' own interests. The restrictions of competition 51 The agreements and concerted practices restrict competition as they are designed to prevent customers from exporting.

This is clear, in the case of the written agreements, from the very wording of Articles 14 and 20 of the authorized dealer contracts and, in the case of the oral agreements, from the manner in which they have been implemented at least since Earlier, in , Bette Nesmith Graham invented the first correction fluid in her kitchen and began marketing the product in as Mistake Out [ citation needed ] , later called Liquid Paper.

The name "Tipp-Ex" is based on "tippen", the German word for " to type ", and " ex ", Latin for "out of" or "from".

As a result of the invention of Tipp-Ex , it became possible to erase a typographical error made on a typewriter.

The typewriter would be backspaced to the letter that was to be changed, the correction paper would be placed in front of the ribbon, and the mistyped letter would be re-typed.

The system only worked if the typewriter repositioned the re-typed letter in exactly the same place as originally typed, which could be problematic if returning to a previous line.

Demand for this correction paper grew very quickly and brought interest from German and international distributors.

In Tipp-Ex introduced its first correction tape , followed in by the successful Pocket Mouse which worked as a best seller.

In , the correction pen was launched. The range was extended to erasers , and in , the new foam applicator was adapted to all the correction fluid bottles.

The Tipp-Ex correction fluid is a white liquid. It is used for painting over mistakes in a piece of writing. A brush which was later replaced by a foam applicator is attached to the cap, so when the bottle is closed, the brush is immersed in the Tipp-Ex.

When unscrewed, the brush is covered in liquid Tipp-Ex which is then painted over the mistake. However, it is still possible to see that Tipp-Ex has been used, and also the original content if the paper is held up to a light.

If the contents of a Tipp-Ex bottle have been exposed to too much air for example, if the cap has been unscrewed too long or if the bottle is half-full and there is air filling the space , the Tipp-Ex becomes thicker, and sometimes even solidifies.

To help prevent this, Tipp-Ex released a product called " Tipp-Ex thinner", a few drops of which are mixed with the contents of a bottle of partially dried Tipp-Ex to thin it.

This extends the lifetime of a Tipp-Ex bottle. One must write with a ball point pen on top of Tipp-ex, as a liquid ink pen will smudge. Skip to main content.

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Skip to main content. This document is an excerpt from the EUR-Lex website. EU case-law Case-law Digital reports Directory of case-law.

Quick search. Need more search options? Use the Advanced search. Help Print this page. It is from what he said and from the correspondence with Beiersdorf on the subject that Tipp-Ex first learned of the competition law issues.

However, doubt set in after it learnt of the notice, and it decided to submit the authorized dealer contract to the Commission, but put off doing so in view of the impending investigation by the Commission.

Tipp-Ex was convinced that in every respect it acted lawfully and with due regard to legitimate interests. The lawyer also advised Tipp-Ex during the drafting of the exclusive distribution agreement and during the negotiations with BDF tesa, assuring it that the contested Articles 14 and 20 of the standard contract were unobjectionable.

In the final draft contract then sent by Tipp-Ex to Beiersdorf on 20 July , the amendments to Articles 14 and 20 proposed by Beiersdorf were omitted.

This was not noticed, however, by any of Beiersdorf's employees. This explanation, which Beiersdorf gave in its answer to the Statement of Objections of 2 June and in the hearing on 18 September , does not convince the Commission.

It is clear from the record of the hearing that the persons acting for Beiersdorf at the signature of the final text knew which text they were signing and what its content was.

On 11 September Tipp-Ex made known its intention of reapplying for negative clearance. The partly oral, partly written agreements between Tipp-Ex and these exclusive distributors and dealers, including the 'authorized dealer contracts', are agreements within the meaning of that Article.

The written agreements were entered into with the content set out in Articles 14 and The signatories were aware of the content of the agreement and were willing to commit themselves accordingly.

The measures which Tipp-Ex has taken at least since in the exercise and on the basis of its contractual relations with its exclusive distributors and dealers in order to prevent parallel imports into the Member States of the Community are to be considered an integral part of those agreements.

An agreement was entered into between Tipp-Ex and its authorized dealers. All authorized dealers adopted Tipp-Ex's ideas regarding the mutual protection of territories and hence these became an integral part of the agreement.

It is immaterial whether or not that business policy coincides with the dealers' own interests. The restrictions of competition 51 The agreements and concerted practices restrict competition as they are designed to prevent customers from exporting.

This is clear, in the case of the written agreements, from the very wording of Articles 14 and 20 of the authorized dealer contracts and, in the case of the oral agreements, from the manner in which they have been implemented at least since Tipp-Ex has repeatedly given expression to this policy aimed at affording exclusive distributors absolute territorial protection.

Moreover, Tipp-Ex has exerted strong pressure on individual dealers and in particular on , threatening them with, and even imposing, sanctions in order to prevent them from supplying the complainant, ISA France, who was known to be a parallel importer.

Pressure was also brought to bear indirectly on the other exclusive distributors via an information campaign.

This was especially the case during the second half of Beiersdorf intended to bring the particularly favourable terms granted to ISA France into line with those granted to comparable wholesalers so as not to place the latter at a disadvantage and in order to make distribution in France more broad-based.

ISA Fance had and has no right under Community law, by reason of its involvement in trade between Member States, to be treated more favourably than other dealers with a comparable sales performance.

Beiersdorf was therefore prepared initially to continue supplying ISA France on the same particularly favourable terms in return for an undertaking that it would not export to the Federal Republic of Germany or to the contract territories of other exclusive distributors.

Only after ISA France had manifestly failed to observe this restriction did Beiersdorf force its French subsidiary to withdraw the special terms in their entirety and with immediate effect cf.

The Commission does not agree. Following various measures by the firm's owner, Beiersdorf was aware of the importance Tipp-Ex attached to preventing the 'market disturbances' caused by ISA France.

As Beiersdorf set great store by good relations with its new contracting partner, there was an understanding between the parties that ISA France should no longer have the opportunity of exporting to other EEC Member States.

That there was such an understanding in clear inter alia from the fact that Beiersdorf sent a copy of the internal instructions to BDF tesa to the owner of Tipp-Ex cf.

It was thus not a purely subjective secondary aim of the distribution measures taken, but rather an aim relevant from the point of view of competition about which there was an understanding between the parties and which is significant in its own right irrespective of any sales considerations.

Tipp-Ex clearly made the point to its exclusive distributors see point The authorized dealer contracts in particular 60 Pursuant to Article 20 1 of the authorized dealer contracts concluded with Beiersdorf and Tipp-Ex Leslie McLean , Tipp-Ex is obliged to refrain from supplying goods covered by the contract to independent distributors who are known or who can be assumed in the light of the surrounding circumstances to want to resell the goods in the territory allotted to an exclusive distributor.

This amounts in effect to an obligation on the part of Tipp-Ex to prohibit independent distributors from exporting the goods supplied to them.

Under paragraph 2 of that Article, Tipp-Ex undertakes to impose on its exclusive distributors in general the obligations laid down in Article 14 of the standard form contract.

With regard to EEC Member States not included in the territory allotted, both companies undertake not to engage in active sales efforts in those countries paragraph 2.

The third sentence of paragraph 1 provides, moreover, that: 'the Authorized Dealer furthermore undertakes not to sell the contract goods to customers who to his knowledge intend to resell them in areas outside the contract territory.

It, too, amounts in effect to an obligation on the part of the exclusive distributor to prohibit his customers from exporting the goods supplied to them.

They are designed to prevent dealers, such as the complainants, who are known to wish to resell the contract goods in other territories, from obtaining supplies.

Lastly, they are intended to prevent parallel importers from obtaining their requirements directly from the exclusive distributors in other territories or from the trade in the Federal Republic of Germany.

Effect on trade between Member States 63 The agreements and concerted practices between Tipp-Ex and its exclusive distributors in the Community and the authorized dealer contracts concluded in were and are capable of affecting trade voir copie imports and exports.

Furthermore, the agreements are likely to limit the opportunities for intermediaries and final consumers to obtain Tipp-Ex products from other intermediaries in the common market.

According to Article 3 b of the Regulation, this renders the Regulation inapplicable. Whilst, pursuant to Article 1 1 a of the Regulation, the obligation on the manufacturer to supply goods only to the exclusive distributor within the latter's allotted territory is exempted, the same is not true of the obligation contained in the authorized dealer contract to protect the exclusive distributor and the manufacturer also from indirect competition from parallel importing traders.

Where the manufacturer, for business reasons, decides not to supply a dealer established in the territory of an exclusive distributor ex-works, this is unobjectionable provided other sources of supply are available to the dealer in the common market cf.

Article 85 3 69 It was not until 7 March , i. According to Article 6 of the Regulation, a decision granting exemption may not cover the period prior to notification.

In particular, it is not apparent that restricting the opportunities for parallel importing or exporting traders to compete cf.

The requirement that the infringements be brought to an end does not apply to the agreements and concerted practices between Tipp-Ex and , as these were terminated with the elimination of on 31 December Gel ink will require a few seconds to fully dry, but can be used if no ball point pen is available.

The organic solvent 1,1,1-trichloroethane was originally used as a thinner in the product. This solvent is readily absorbed by the lungs via inhalation.

It passes readily through the blood—brain barrier and may be lethal following acute exposure. The reason given was the possibility of the solvent 1,1,1-trichloroethane being inhaled by children as a form of substance abuse.

While a number of schools in the UK are known to have introduced similar rules, the AEA is the only local education authority to have extended it to an entire region.

The decision was revoked six months later following complaints from staff, pupils and parents. From Wikipedia, the free encyclopedia. Brand of correction fluid.

This article needs additional citations for verification. Please help improve this article by adding citations to reliable sources.

Unsourced material may be challenged and removed. Free Patents Online. Deutsches Patent und Merkenamt in German. Archived from the original on 1 July Environment Agency.

Archived from the original on 4 February The Consortium.

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