The EU Court of Justice quashes the 2014 judgment of the General Court that upheld a fine of €1.06 billion for an abuse of dominant position by implementing loyalty rebates based on exclusivity agreements (Intel)

On September 6, 2017 [1],the Court of Justice of the European Union (CJEU) quashed the 2014 judgment of the General Court (GC) that upheld a fine of €1.06 billion ($1.5 billion) on Intel Corporation Inc. (Intel) for abusing a dominant market position by implementing loyalty rebates based on exclusivity agreements. The CJEU ruled that exclusive or quasi-exclusive arrangements may be deemed lawful if the dominant company can demonstrate that (i) such agreements are not capable of foreclosing competitors that are as efficient as itself or (ii) the foreclosure effect is outweighed by objective justifications. It concluded that the GC had failed to consider all arguments put forward by Intel and referred the case back to the GC, which is now tasked to examine Intel’s arguments on the

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Authors

  • Skadden, Arps, Slate, Meagher & Flom (Brussels)
  • Skadden, Arps, Slate, Meagher & Flom (Brussels)
  • Skadden, Arps, Slate, Meagher & Flom (Brussels)
  • Skadden, Arps, Slate, Meagher & Flom (Brussels)

Quotation

Frederic Depoortere, Ingrid Vandenborre, Simon Baxter, Giorgio Motta, The EU Court of Justice quashes the 2014 judgment of the General Court that upheld a fine of €1.06 billion for an abuse of dominant position by implementing loyalty rebates based on exclusivity agreements (Intel), 6 September 2017, e-Competitions Bulletin September 2017, Art. N° 84756

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