The Bavarian Competition Authority implements the Act against Restraints on Competition (ARC, Gesetz gegen Wettbewerbsbeschränkungen – GWB) and is part of the Bavarian Ministry of Economic Affairs, Regional Development and Energy. Its duties are carried out by a department that is also responsible for general competition policy and is involved in the formulation of competition law.
The main focus of its activity is on the implementation of the ARC. The Bavarian competition authority enforces the ban on cartels according to § 1 ARC and exercises control of abuses by undertakings that dominate the market or are in strong market positions. It also keeps a check on violations of the ban on discrimination and impediment. Its jurisdiction is limited to cases of actions performed in violation of cartel law, the effect of which does not extend beyond the territory of the Free State of Bavaria. The body responsible for issues that extend beyond the borders of one Land and for the control of mergers is the Federal Cartel Office based in Bonn.