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Part 1The Code and the adjudicator

3Duty to act consistently with regulatory principles

(1)The Scottish Ministers must use their best endeavours to exercise the power conferred by section 1 consistently with the regulatory principles.

(2)The adjudicator must use its best endeavours to carry out the adjudicator’s functions consistently with the regulatory principles.

(3)The regulatory principles are—

(a)the principle of fair and lawful dealing by pub-owning businesses in relation to their tied-pub tenants,

(b)the principle that tied-pub tenants should not be worse off than they would be if they were subject to neither a product tie nor a service tie,

(c)the principle that any agreement between a pub-owning business and a tied-pub tenant should fairly share the risks and rewards amongst the parties.

(4)In subsection (3)(b), “product tie” and “service tie” have the meaning given to them in paragraph 5(4) of schedule 1.