By 2015 The European Common Fisheries Policy Reform includes a landing obligation in some fisheries and over the next few years all EU fisheries will be facing the obligation to land all catches. In spite of that, there is a lack of theoretical as well as empirical analyses of the consequences of a landing obligation. The paper includes an empirical analysis of the landing obligation’s impact on the Danish fishery in the short run. In the first part of the paper, we survey the fisheries economics literature for theoretical findings regarding behavioural aspects of a discard ban and we exploring gaps in our knowledge. A comprehensive analysis of the short term economic impacts of the discard ban for the Danish fleet under various assumptions regarding costs of handling previously discarded fish, prices obtained for them, selectivity, minimum sizes, and quota utilization is presented. Among other things, the analysis shows that the fisheries will suffer economic losses under the landing obligation if quotas are not increased with the historical discard rate. With quota top-ups however fisheries can experience economic gains which increase with reduced minimum sizes or by increasing selectivity.