April 2017

General antitrust

Anticompetitive practices

The Italian Competition Authority finds an anticompetitive agreement in the banking sector but does not impose any fine (ABI / SEDA)
Municipality of Cagliari
The Italian Competition Authority (ICA) has recently closed an Article 101 TFEU investigation it had opened in the case ABI/SEDA by an infringement decision. The ICA found the parties to have put in place an anti-competitive agreement in the banking sector. Though the agreement was qualified (...)

The Swedish Patent and Market Court of Appeal overturns the Stockholm District Court’s decision and finds three healthcare providers not guilty of a cartel (Aleris / Capio / Hjärtkärlgruppen)
Mannheimer Swartling (Stockholm)
No Bid-Rigging in Swedish Healthcare Case* At the end of April this year, a Swedish case involving alleged procurement collusion in healthcare markets reached its final conclusion. In a reversal of fortunes for the Swedish Competition Authority (SCA), the Patent and Market Court of Appeal (...)

The EU Court of Justice dismisses appeal against a judgment of the General Court which upheld the EU Commission’s decision finding that a company participated in an illegal price-fixing cartel (Exotic Fruits cartel case)
Van Bael & Bellis (Brussels)
On 27 April 2017, the Court of Justice of the European Union (“ECJ”) dismissed an appeal lodged by banana importer Pacific Fruit (and its parent companies) against a judgment of the General Court (“GC”), which upheld the European Commission’s decision finding that Pacific Fruit had (...)

The EU Court of Justice upholds use of evidence from a national authority other than a member state competition authority (Pacific Fruit)
Jones Day (Brussels)
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Jones Day (Brussels)
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Jones Day (Brussels)
The European Court of Justice ("CoJ") has upheld the European Commission’s use of evidence transmitted by a national authority other than a Member State competition authority in a cartel investigation. The CoJ ruled on April 27, 2017, that the national authority properly transmitted such (...)

The EU Commission carries out inspections in the mobile telecommunications sector in Sweden
European Commission - DG COMP (Brussels)
Antitrust: Commission confirms inspections in the mobile telecommunications sector in Sweden* The European Commission can confirm that on 25 April 2017 its officials carried out unannounced inspections at the premises of companies active in the mobile telecommunications sector in Sweden. (...)

The Swiss Federal Supreme Court publishes reasons for its judgment in Colgate-Palmolive Europe
Blum&Grob
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Niederer Kraft & Frey (Zurich)
Major re-interpretation of Swiss competition law: price-fixing, quantity limiting and market allocating agreements are per se illegal regardless of effect and may lead to direct sanctions* On 21 April 2017, after almost 10 months, the Swiss Federal Supreme Court published reasons for its (...)

The Polish Competition Authority issues a decision in a bid rigging case on the market for car towing and parking services (Auto czok / Warm)
Greenberg Traurig (Warsaw)
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WKB Wierciński Kwieciński Baehr (Warsaw)
By way of its decision no. RKT-04/2017 of 19 April 2017, the Polish Competition Authority (Prezes Urzędu Ochrony Konkurencji i Konsumentów, the “PCA”) imposed a financial penalty of more than PLN 170, 000 (approx. EUR 40,700) on two providers of car towing and parking services engaged in bid (...)

The EU Commission publishes a tender offer seeking an assessment of the EU market for loan syndication and possible implications under EU competition rules
Jones Day (Paris)
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Jones Day (Brussels)
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DLA Piper (London)
In April 2017, the European Commission ("Commission") published a tender offer seeking an assessment of the EU market for loan syndication and possible implications under EU competition rules. The successful candidate will draft a report providing an overview of the market and the relevant (...)

The EU Commission announces a tender procedure to analyze the competition implications of loan syndication in six EU Member States
Baker McKenzie (Brussels)
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Baker McKenzie (London)
In the context of continued regulatory scrutiny of the financial services and insurance sectors by competition authorities, the European Commission announced on 24 April 2017 that it has issued a tender to analyse the competition implications of loan syndication in six EU Member States. This (...)

The Turkish Competition Authority finds no evidence on exclusionary practices by incumbents against a new entrant in the market for meal cards (Metropal)
Ankara Hacı Bayram Veli University (Ankara)
This case note analyses the decision of the Turkish Competition Authority (TCA) in which it has rejected the complaint due to lack of evidence that the incumbent undertakings in the market for meal cards collectively resorted to certain exclusionary practices upon the entry into market of the (...)

The Dusseldorf Higher Regional Court confirms that a general prohibition for retailers to use price comparison engines violates competition law (Asics)
German Competition Authority (Bonn)
Düsseldorf Higher Regional Court confirms Bundeskartellamt’s decision on prohibition of use of price comparison engines* Yesterday the Düsseldorf Higher Regional Court confirmed the Bundeskartellamt’s decision of principle against the running shoes manufacturer Asics. According to the (...)

The Advocate General Wahl considers that agricultural producers’ organisations may be held liable under EU competition law (APVE)
Van Bael & Bellis (Brussels)
On 6 April 2017, Advocate General (“AG”) Wahl issued an opinion on a preliminary reference from the French Supreme Court arising from the Endive cartel investigated by the French Competition Authority. In his opinion, the AG con- siders that agricultural producers’ organisations and their (...)

The Düsseldorf Court of Appeal confirms a decision of the Competition Authority against all prohibitions or restrictions imposed in relation to online sales made by traditional distributors (ASICS)
King’s College (London)
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Willkie Farr & Gallagher (Brussels)
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Solarisbank AG (Berlin)
This article considers how much the Coty Ruling has shed light on the extent to which a manufacturer can restrict the sales of its products over online platforms, especially in the wake of the recent German Case involving ASICS and basic principles developed at EU level to assess obligations (...)

The Hellenic Competition Authority decides that companies in the wholesale and retail cosmetics sector colluded on the prices (Notos / Hondos)
Kyriakides Georgopoulos (Athens)
Collusion between cosmetics retailers (HCC 636/2017 and 645/2017) The first decision issued by HCC under its new settlement procedure concerns a case which dates back to the second of two complaints lodged by NOTOS (wholesaler and retailer of cosmetics) in 2006 against a number of wholesale (...)

The Italian Competition Authority targets anti-competitive practices in market for the copyright management services (SIAE-Assomusica)
Municipality of Cagliari
In SIAE-Assomusica , the Italian Competition Authority (ICA) has opened an Article 102 TFEU investigation and Article 101 TFEU investigation into restrictive business practices put in place in the copyright management sector. The facts of the case The ICA investigations were triggered by (...)

The Hellenic Competition Authority imposes €80 million fines on several groups for collusive tendering in high value public infrastructure projects in the construction sector (Technical Olympic)
Kyriakides Georgopoulos (Athens)
Settlement of the bid-rigging cartel for high value tenders (HCC 642/2017) In August 2018, the HCC announced the imposition of hefty fines amounting to more than € 80 million on several construction groups, for collusive tendering in high value public infrastructure projects, following the (...)

The Hellenic Competition Authority decides that a lessee and operator of the parking slots in airport abuses its dominant position through excessive pricing (Cargo Service / KEPKA)
Kyriakides Georgopoulos (Athens)
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Kyriakides Georgopoulos (Athens)
Dismissal of allegations of excessive car parking prices in Macedonia Airport (HCC 630/2016) In April 2008, Cargo Service, lessee and operator of the parking lots in the Thessaloniki International Airport “Macedonia”, was accused by KEPKA (a consumer protection NGO) of abusing its dominant (...)

Unilateral Practices

The Russian Competition Authority concludes an amicable settlement with a multinational technology company (Google)
Russian Federal Antimonopoly Service (Moscow)
FAS terminated administrative proceedings against Google* The decisions was due to an amicable settlement reached between the antimonopoly authority and the company On 25 April 2017, the Federal Antimonopoly Service (FAS Russia) terminated the proceedings against Google opened for failure (...)

The Chinese NDRC investigates administrative monopolies in drug procurement for public hospitals in Shenzhen and Guanxian
University of Melbourne
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University of Melbourne
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China Competition Bulletin (Beijing)
The NDRC, its local Guangdong bureau, and the SAIC recently investigated separate administrative monopoly cases involving drug procurement for public hospitals. Previously, the NDRC and its local offices had investigated drug procurement practices by local health and family planning (...)

The Spanish Competition Authority fines the national basketball association for charging excessive, unequal and discriminatory economic conditions (Asociación de Clubes de Baloncesto)
Callol, Coca & Asociados (Madrid)
On April 11th, the NMCC has condemned the Spanish Basketball Clubs Association (Asociación de Clubes de Baloncesto or ACB) for breaching the national provision on restrictive practices, Article 1 Competition Act. The ACB has been fined €400,000. According to the NMCC, the ACB forced (...)

The EU Commission publishes a roadmap on the Standard Essential Patents to support the development of the 5G mobile communications standard
Van Bael & Bellis (Brussels)
On 10 April 2017, the European Commission published its roadmap on “Standard Essential Patents for a European digitalised economy” (the “Roadmap”) with the aim of supporting the development of the 5G mobile communications standard (“5G”) and the Internet of Things (“IoT”) universe. A (...)

The EU Court of Justice AG Wahl offers guidance on the criteria to identify excessive prices in abuse of dominance case (AKKA / LAA)
Van Bael & Bellis (Brussels)
On 6 April 2016, Advocate General (“AG”) Wahl gave an opinion advising the European Court of Justice (“ECJ”) on the criteria to determine whether a Latvian royalty collecting society had abused its dominant position by charging excessive prices in breach of Article 102(a) TFEU. The matter came (...)

The Beijing Intellectual Property Court finds an ad-block app breaching unfair competition provisions (Feihu / Sohu / Xiaoyi)
University of Melbourne
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Hogan Lovells (Beijing)
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China Competition Bulletin (Beijing)
On 2 April 2017, the Beijing Intellectual Property Court upheld the first-instance judgement relating to an unfair competition claim brought by Feihu Information Technology Tianjin Company and Sohu against Beijing Xiaoyi Interaction Network Technology. Xiaoyi operated an app that could play (...)

Mergers

The Chinese MOFCOM requires divestitures and behavioural commitments to approve a merger in the market of agrochemical products, material science products and speciality products (Dow / DuPont)
University of Melbourne
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University of Melbourne
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Hogan Lovells (Beijing)
On 29 April 2017, the MOFCOM approved the merger between Dow and DuPont, subject to structural and behavioural conditions. The merger notification was submitted on 21 March 2016, which was accepted as complete on 6 May 2016. The review went into an extended phase 2, and the parties withdrew (...)

The US FTC reaches a consent agreement with merging parties to preserve innovation in the switch box industry (Emerson / Pentair)
McDermott Will & Emery (Washington)
The FTC’s recent consent agreement addressing concerns regarding Emerson Electric Co.’s (Emerson) acquisition of Pentair Plc (Pentair) demonstrates a continued focus on whether transactions will reduce the incentive for merging parties to develop new, innovative products in the future. This is (...)

The French Competition Authority clears a merger in the commercial restaurant sector (Flo / Bertrand)
French Competition Authority (Paris)
RESTAURANT SECTOR* As part of group Flo’s takeover by group Bertrand, the Autorité de la concurrence considered the case under merger control. The Autorité has authorized the transaction for which the agreement protocols have to be approved by Nanterre’s commercial court. Group Bertrand (...)

The EU Commission clears a merger subject to remedies in the identity and security solutions market (Morpho / Advent International)
European Commission - DG COMP (Brussels)
MERGERS: COMMISSION CLEARS ACQUISITION OF SMART CARD MAKER MORPHO BY ADVENT INTERNATIONAL, SUBJECT TO CONDITIONS* The European Commission has cleared under the EU Merger Regulation the proposed acquisition of identity and security solutions provider Morpho, based in France, by Advent (...)

The EU Commission clears a merger, subject to remedies, in the aircraft engine market (ITP / Rolls-Royce)
European Commission - DG COMP (Brussels)
MERGERS: COMMISSION CLEARS ACQUISITION OF SOLE CONTROL OF ITP BY ROLLS-ROYCE, SUBJECT TO CONDITIONS* The European Commission has cleared under the EU Merger Regulation the proposed acquisition of aircraft engine components maker ITP (Spain) by aircraft engine maker Rolls-Royce (UK). The (...)

The UK Competition Authority clears a merger subject to remedies in the market of payment systems (MasterCard / VocaLink)
UK Competition & Markets Authority - CMA (London)
CMA accepts Mastercard/VocaLink undertakings* The CMA has today accepted undertakings offered by Mastercard to address competition concerns arising from its purchase of VocaLink. On 18 January 2017, the Competition and Markets Authority (CMA) announced it would look in detail at whether (...)

The EU Commission clears a merger subject to remedies in the container shipping services market (Hamburg Süd / Maersk Line)
European Commission - DG COMP (Brussels)
MERGERS: COMMISSION APPROVES ACQUISITION OF HAMBURG SÜD BY MAERSK LINE, SUBJECT TO CONDITIONS* The European Commission has cleared under the EU Merger Regulation the proposed acquisition of container liner shipping company Hamburg Südamerikanische Dampfschifffahrts-Gesellschaft KG (HSDG) of (...)

The Polish Competition Authority approves an acquisition of control by the leading Polish insurance company of a direct competitor (Powszechny Zakład Ubezpieczeń)
Hansberry Tomkiel (Warsaw)
In its decision no DKK 56/2017 of 6th April 2017 (the “Decision”), the Polish Office for Competition and Consumer Protection (the “Competition Authority”) gave its consent to the acquisition of control of Bank Polska Kasa Opieki S.A. (“Bank Pekao”) and its subsidiaries engaged in investment (...)

The Turkish Competition Authority clears a conglomerate merger by granting unconditional approval to the transaction (Vive / Toyota)
ELIG Gürkaynak Attorneys-at-Law (Istanbul)
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ELIG Gürkaynak Attorneys-at-Law (Istanbul)
This case note analyses the Turkish Competition Board’s (the “ Board ”) Vive B.V./Toyota decision of 6 April 2017 numbered 17-12/143-63 regarding the transaction by which Toyota Industries Corporation (“ TICO ”), through its subsidiary Toyota Industries Europe AB (“ Toyota Europe ”) will (...)

The EU Commission clears a merger subject to remedies on the pesticides and plant growth regulators market (ChemChina / Syngenta)
European Commission - DG COMP (Brussels)
MERGERS: COMMISSION CLEARS CHEMCHINA ACQUISITION OF SYNGENTA, SUBJECT TO CONDITIONS* The European Commission has approved under the EU Merger Regulation the proposed acquisition of Syngenta (based in Switzerland) by ChemChina. The approval is conditional on the divestiture of significant (...)

The EU Commission approves the acquisition of a leading global R&D crop protection company by a leading global generic crop protection company, subject to remedies (ChemChina / Syngenta)
Snap Inc. (Paris)
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European Commission - DG COMP (Brussels)
ChemChina/Syngenta: when growth is no longer organic* In a nutshell: This case concerned the acquisition of Syngenta by ChemChina, which already controlled Adama, the largest supplier of generic crop protection products. Adama is the largest generic company in this industry worldwide and in (...)

The EU Commission prohibits acquisition of the largest national cement producer by the largest national cement importers due to insufficient divestment to fully eliminate competition concerns (HeidelbergCement / Schwenk / Cemex Hungary / Cemex Croatia)
Danone (Paris)
HeidelbergCement/Schwenk/Cemex Hungary/Cemex Croatia - Cement travelling across borders* In a nutshell: The acquisition of Cemex Croatia would have seen DDC transform from an expanding importer in Croatia into the largest Croatian incumbent, and customers could have no longer benefitted from (...)

The Norwegian Competition Authority blocks a merger on the basis that the deal would reduce competition in the market for transportation of frozen fish (Eimskip / Nor Lines)
Van Bael & Bellis (Brussels)
On 3 April 2017, the Norwegian Competition Authority (“NCA”) prohibited the proposed acquisition of Norwegian-based Nor Lines by Icelandic-based Eimskip on the basis that the € 15 million deal would reduce competition in the market for transportation of frozen fish with reefer vessels from (...)

State Aid

The EU General Court partly annuls a Commission decision for misapplying the market economy operator test by failing to establish a causal link between the obligations assumed by an infrastructure operator and the costs it bears (Germanwings)
Maastricht University
Article published on StateAidHub: http://stateaidhub.eu, republished in e-Competitions with the courtesy of the author. The original title of this article appears below the e-Competitions title. Authors are welcome to write an alternative article on this case/text, provided they have no (...)

The Romanian Government opens new approved State aid schemes for renewable energy projects
Maravela, Popescu & Asociatii (Bucharest)
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Procter & Gamble (Bucharest)
1. Introduction As of April 14, 2017, companies can apply for State aid for investments in highly efficient cogeneration and investments in the promotion of energy production derived from less exploited renewable energy sources (biomass, biogas and geothermal energy). Both schemes are (...)

The EU Commission finds that German financial instruments supporting the renovation of a congress centre are State aid compatible with the internal market (Revitalisation of the Hamburg Congress Centre)
Maastricht University
Calculating the Amount of State Aid in a 100% Public Guarantee* The proxy rates in the Commission Notice on Guarantees cannot be used in cases of state guarantees that cover 100% of the underlying loans. Introduction Last week’s article reviewed the terms of the operation of regional (...)

The EU General Court affirms a Commission decision that compensation for public services and a capital increase granted by Sardinia to a maritime company is aid incompatible with the internal market (Regione autonoma della Sardegna)
Maastricht University
* Article published on StateAidHub (click here). The original title of this article appears below the e-Competitions title. Authors are welcome to write an alternative article on this case/text, provided they have no relationships with a party or related third party. Article will need (...)

The French Administrative Court of Appeal for Bordeaux dismisses an appeal which sought to claim that a recovery order was unlawful because it reversed the burden of proof (Société coopérative agricole de Vergt Socave)
Clifford Chance (Brussels)
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Clifford Chance (Paris)
In 1992, France introduced an aid scheme to support the fruit and vegetable sector, comprising measures aimed at facilitating the marketing of agricultural products harvested in France, particularly in period of crisis. The aid was paid to farmers’ organizations; the latter allocating a (...)

Procedures

The Hong Kong High Court confirms the Competition Tribunal’s competence for stand-alone private actions in competition cases (Loyal Profit / TIC)
Linklaters (Hong Kong)
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Saint-Gobain (Paris)
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StubHub (Hong Kong)
This article has been nominated for the 2018 Antitrust Writing Awards. Click here to learn more about the Antitrust Writing Awards. Hong Kong Court confirms bar on stand-alone private actions in competition cases* The Hong Kong Court of First Instance rejected a claim that it had (...)

The Hong Kong High Court rejects allegations by a travel agency that certain directives issued by the Travel Industry Council were anti-competitive (Loyal Profit / TIC)
Baker McKenzie (Hong Kong)
On 27 April 2017, Hong Kong’s High Court rejected allegations by travel agency, Loyal Profit International Development that certain directives issued by the Travel Industry Council (TIC) were anti-competitive, and refused to rule on alleged violations of competition law. Loyal Profit alleged (...)

The Polish Competition Authority launches a pilot programme for whistle-blowers
WKB Wiercinski Kwiecinski Baehr (Poznan)
Let me get this straight from the beginning. I am not a big fan of the trend among the competition authorities to introduce whistleblowing programs. For me this seems to be rather a sign of weakness and not of strength. If other available tools (and especially the leniency program) worked well (...)

Regulatory

The EU Commission publishes report on online hotel booking platforms in collaboration with several national competition authorities
European Commission - DG COMP (Brussels)
The European Commission publishes the results of an exercise, carried out by the Autorité de la concurrence and 9 other national European competition authorities, which assess the effects of the remedies adopted in Europe in the online hotel booking sector.* Background Following the (...)