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Can I, as a company, strategically spread negative information about my competitors to weaken them?

Dear Competition Law Attorney,

My name is Anna Dörr and I am the managing director of a small company in the electronics industry. Lately, I have noticed that my competitors have been spreading negative information about my company in order to tarnish my reputation and attract my customers. Now I am wondering if it is legally allowed for me as a company to also deliberately spread negative information about my competitors to weaken them and gain a competitive advantage.

Currently, I feel threatened by the defamatory statements of my competitors in terms of my reputation and business success. I am concerned that their unfair behavior could cause me to lose market share and lead to existential problems for my company in the long run. Therefore, I am looking for legal options to defend myself against this unfair competition practice and strengthen my position in the market.

Could you please explain to me legally whether it is permissible for a company to deliberately spread negative information about my competitors to weaken them? Are there legal boundaries that I must consider? And what steps can I take to defend myself against the unfair practices of my competitors without violating applicable competition law?

Thank you in advance for your help and support.

Sincerely,
Anna Dörr

Georg Sauer

Dear Mrs. Dörr,

Thank you for your inquiry regarding the dissemination of negative information about your competitors in the context of competition law. It is understandable that you feel threatened by the defamatory statements of your competitors and are looking for legal options to defend yourself and strengthen your position in the market.

In general, it is not allowed under competition law to deliberately spread negative information about your competitors in order to weaken them and gain a competitive advantage. This practice is considered unfair competition and violates applicable law. The principle of fair competition states that companies should compete with each other fairly and honestly, without gaining an advantage through unfair means.

So, if your competitors speak negatively about your company, it is important that you legally defend yourself against these defamations. For example, you can assert claims for injunction and damages to defend against the dissemination of false or misleading information. It is advisable to consult a specialized competition law attorney who can competently advise and represent you in this matter.

However, it is important to emphasize that even when defending against unfair competition, certain legal limits must be respected. You should ensure that your countermeasures comply with applicable law and do not themselves violate competition law. Therefore, it is advisable to seek legal advice before implementing countermeasures to ensure that you stay within legal boundaries.

Overall, it is important that you defend yourself against the unfair practices of your competitors and protect your position in the market. An experienced competition law attorney can help you take the appropriate legal steps and effectively represent your interests.

If you have any further questions or need assistance, please do not hesitate to contact me.

Sincerely,
Georg Sauer

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Georg Sauer