French fashion house Pierre Cardin is set to be fined in the coming weeks for licensing and distribution deals with German clothing maker Ahlers in breach of European Union rules on online and cross-border sales, people familiar with the matter said.

The move by the European Commission, which acts as the EU competition enforcer, followed dawn raids on Pierre Cardin in 2021 and charges imposed against the company last year.

The EU executive, which has in recent years reinforced rules against curbs on cross-border and online sales as part of a push to boost e-commerce, declined to comment.

“We have not yet received any official information regarding the fine,” a spokesperson for Pierre Cardin said.

The Commission said in its charge sheet the companies may have breached EU antitrust rules by restricting cross-border sales of Pierre Cardin-licensed clothing, as well as sales of such products to specific customers.

Ahlers is Pierre Cardin’s largest licensee.
Companies risk fines as much as 10% of their global turnover and orders to the firms to change business practices if found guilty of breaching EU antitrust rules.