Business Events Sydney and participating hotels have been given the green light to offer common agreed minimum terms for international events and delegates.
The Australian Competition & Consumer Commission (ACCC) has advised that Business Events Sydney and participating hotels have been authorised to offer common agreed minimum terms for international events and delegates.
The decision comes after a draft submission by both parties to the Australian Competition & Consumer Commission (ACCC) for authorisation, as an agreement between competitors would otherwise breach competition laws.
Having received no submissions in opposition to the agreement, the ACCC has granted both parties authorisation until 17 October 2039.
The terms would be offered where events have more than 2,000 delegates staying at 10 or more of the hotels participating in the agreement and include release, cancellation, concession, room access, force majeure, lowest rate guarantee and quote validity terms.
The ACCC considers the proposed arrangements are likely to result in transaction cost savings, and some tourism benefits, while minimal detriments are likely to arise given that the arrangements do not restrict the ability or incentive for hotels to compete on price, service standards and facilities.