The Competition Authority has ruled against complaints that Xtravision was breaching competition law through exclusive marketing arrangements it made with a number of small film producers.
Under the arrangement Xtravision invested in the production and marketing of films inclusing Ordinary Decent Criminal, A Love Divided, and Charlotte Grey, in exchange for receiving the films to rent out four to six weeks before other video libraries.
Commenting on the decision Dr Paul Gorecki, director of the authority's monopolies division said, "any possible anti-competitive concerns about the exclusive nature of the arrangement, are outweighed by its beneficial effects for consumers and the small effect on the overall market".