The Canadian Supreme Court provides guidance on how to apply the efficiencies defence (Tervita)

Efficiencies Save Landfill Merger, Supreme Court rules* A landfill merger that gave the buyer a monopoly and would prevent prices from falling was saved by efficiencies amounting to one-half of one person’s annual salary, the Supreme Court of Canada ruled recently in Tervita Corp. v. Canada (Commissioner of Competition). The decision establishes a number of important principles for merger analysis under the Competition Act, including the following: The Competition Tribunal may make predictions about the future based on the evidence before it. In determining whether efficiencies brought about by the merger are greater than and offset its anti-competitive effects, the Tribunal should employ a two-step analysis, comparing the quantitative efficiencies against the quantitative

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Michael Osborne, The Canadian Supreme Court provides guidance on how to apply the efficiencies defence (Tervita), 22 January 2015, e-Competitions Bulletin January 2015, Art. N° 71858

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