On 1 September 2020, JD Sports Fashion and Pentland Group Limited filed an appeal against a CMA decision of 29 July 2020 to impose a penalty of £300,000 on the parties for failing to comply with the requirements of the CMA’s initial enforcement order issued in the context of the completed acquisition by JD Sports of Footasylum plc.
JD Sports and Pentland are appealing the penalty decision on the grounds that (i) the decision was unfair and contrary to the CMA’s own policy on penalties procedures; (ii) the decision was based on a fundamental factual error in relation to the steps taken by the appellants to comply with the order; (iii) there was no failure to comply with the order on the part of Footasylum; (iv) further or alternatively, the CMA erred in its assessment as to whether there was a reasonable excuse for the alleged breach of the order; (v) there was no basis for addressing the decision and/or penalty to Pentland Jersey; (vi) there was no basis for imposing a penalty on the appellants; and (vii) the amount of the penalty was unjustified and disproportionate and should be reduced to nil or a nominal sum. Case management directions were given by Order of the Chairman dated 18 September 2020. A hearing has been listed for 8 December 2020.