December 2007

Anticompetitive practices

 The Polish Competition Authority fines the country’s two largest fuel companies for agreeing to withdraw the universal U95 fuel from the market (PKN Orlen / Grupa Lotos)
Citibank (Brussels)
Belgium 1 contribution 2470 visits
On 31 December 2007, the President of the Office for Competition and Consumer Protection (the OCCP) issued a decision imposing a fine of PLN 4.5 million (approximately EUR 1.3 million) on PKN Orlen(Polski Koncern Naftowy Orlen) and PLN 1 million (approximately EUR 300.000) on the Lotos Group (...)

The Dutch Trade and Industry Appeals Tribunal makes a reference for a preliminary ruling to the ECJ concerning the application of Art. 81.1 EC to concerted practice between mobile phone operators (KPN Mobile)
European Commission - DG HR (Brussels)
47 contributions 200836 visits
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European Court of Justice (Luxembourg)
Luxembourg 23 contributions 85885 visits
In December 2002, the Dutch Competition Authority (hereafter the ‘NMa’) imposed fines upon five Dutch mobile phone companies for breach of Article 6 of the Dutch Competition Act (a provision equivalent to Article 81 (1) EC). The NMa found that those mobile phone operators exchanged confidential (...)

The Polish Competition Authority heavely fines 85 companies for anticompetitive price fixing practices in the paints and polishing products sector (Tikkurilla Polska)
Kochanski & Partners (Warsaw)
Poland 6 contributions 17666 visits
On 31 December 2007, the President of OCCP issued decision n° RKT-79/2007 finding one of the biggest paints and polishing products manufacturer in Poland guilty of implementing anti-competitive retail price maintenance practices. The antimonopoly procedures have been initiated in October 2007 (...)

The Polish Competition Authority fines € 1.5 M petrochemical companies for coordination in halting production and distribution of a type of car gas (PKN Orlen / Grupa Lotos)
Greenberg Traurig Grzesiak (Warsaw)
Poland 29 contributions 78472 visits
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PKN Orlen (Warsaw)
Poland 12 contributions 34061 visits
On 31 December 2007, the Polish President of the Office for Competition and Consumer Protection (“the OCCP”) fined both PKN Orlen S.A (“Orlen”) and Grupa Lotos S.A. (“Lotos”), two leading Polish oil and petrochemical companies, for a concerted practice regarding the discontinuation of the manufacture (...)

The Polish Competition Authority condemns a resale price maintenance agreement but applies leniency (Tikkurila Polska)
French National Research Agency - ANR (Paris)
France 37 contributions 152915 visits
On December 31, 2007 the President of the Office for Competition and Consumer Protection (hereafter: the OCCP President) issued the second decision applying leniency provisions. The first ever leniency concerned a vertical agreement between Polifarb Cieszyn-Wroclaw, a producer of paints and (...)

The Estonian County Court in Harju rules in a criminal case concerning an attempt to fix prices, share markets and engage in the collective boycott in the freight services market (Oleg Ossinovski / Spacecom)
Cobalt Legal (Tallinn)
Estonia 5 contributions 1553 visits
On 21 December 2007, the Harju County Court (a court of first instance) convicted a railway freight services provider, AS Spacecom (“Spacecom”), and its management board member Oleg Ossinovski of an attempt to agree on restrictions of competition with its main competitor Eesti Raudtee (Estonian (...)

The German Federal Cartel Office imposes a fine on associations of pharmacists and pharmaceutical manufacturers for organising and accomplishing a lecture series intended to convince pharmacists to refrain from price competition (Arzneimittelhersteller)
Gleiss Lutz (Munich)
Germany 28 contributions 47640 visits
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Milbank, Tweed, Hadley & McCloy (Munich)
Germany 28 contributions 47640 visits
On 21 December 2007, the German Federal Cartel Office (FCO) imposed a fine on nine state associations of pharmacists, five pharmaceutical companies and the Federal Association of Pharmaceutical Manufacturers for organising and accomplishing a lecture series intended to convince pharmacists to (...)

The German Federal Cartel Office imposes fine on association of pharmaceutical companies for participating in price fixing among pharmacists (OTC pharmaceuticals)
Eberhard Karls University of Tübingen
Germany 13 contributions 40747 visits
I. The facts of the case The decision of the Federal Cartel Office (FCO) deals with the pharmaceutical sector in Germany. In 2004 the German market for non-prescription pharmaceuticals was further liberalized. According to the new pharmaceutical law the prices for non-prescription (...)

The French Competition Council condemns vertical price-fixing agreements in the toy distribution sector (Toys Decision)
Simmons & Simmons (Paris)
France 25 contributions 52520 visits
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Hewlett Packard (Boulogne-Billancourt)
France 29 contributions 87056 visits
On 20 December 2007, the French Competition Council (the “Council”) fined five manufacturers (Chicco - Puériculture de France, Goliath France, Hasbro France, Lego and MegaBrands) and three distributors (Carrefour France, EPSE-JouéClub and Maxi Toys France) for entering into vertical agreements to (...)

The Italian Competition Authority accepts the commitments of the oil companies under investigation for restriction of competition on the fuel market and closes the investigation (Fuel cartel)
University College London
United Kingdom 4 contributions 1081 visits
In 18 January 2007 the Italian Competition Commission (Autorita Garante della Concorrenza e del Mercato, ‘ICC’) launched an investigation in order to examine allegations of violation of article 101 TFEU and law 287/1990 consisting in restrictions in the italian market of automotive fuels by the (...)

The Belgian Competition Council clears a local opening hours scheme for pharmacists (F.N.H. / Ordre des pharmaciens - GLEP 30)
Liège University
France 39 contributions 155716 visits
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Liège University
Belgium 1 contribution 4203 visits
I. Parties This case arose from a complaint lodged by a retail pharmacy outlet (“the applicant”) before the Belgian Competition Council (“the Council”) Initially, the complaint targeted the Belgian Pharmacists Association (“BPA”), but the Council subsequently decided on its own motion to extend the (...)

The French Competition Authority fines five toy manufacturers and three distributors for an anticompetitive agreement on prices (Lego)
French Competition Authority (Paris)
France 543 contributions 182484 visits
Press Release published on the official website of the French Competition Authority. The Conseil de la concurrence imposes a €37 million fine on 5 toy manufacturers and 3 distributors* Following a referral by the ministry of Economy, the Conseil de la concurrence issues a decision against five (...)

The Finnish Market Court imposes record fines on asphalt cartel
Van Bael & Bellis (Brussels)
Belgium 358 contributions 69918 visits
On 19 December 2007, the Finnish Market Court found seven construction companies guilty of having participated in a market-sharing and bid-rigging cartel in the asphalt sector in Finland. The Court found that the cartel had been active during the period of 1994-2001 and had affected public and (...)

The UK Competition Authority initiates criminal proceedings against cartel members for the first time in its history following unprecedented levels of co-operation with US authorities (Marine Hoses Cartel)
Womble Bond Dickinson (Washington)
United States 5 contributions 15920 visits
On 19 December 2007, the British Office of Fair Trading (“OFT”) announced that an oil industry executive trio was charged with cartel offences under the Enterprise Act 2002 (the“Act”). This is a historic move for the OFT as it uses its powers under the Act for the first time since the Act came (...)

The German Competition Authority imposes heavy fines on seven liquid gas companies (Drachen-Propangas / Friedrich Scharr / Progas / Primagas / Sano-Proban / Tyczka Energie / Tyczka Totalgaz)
Van Bael & Bellis (Brussels)
Belgium 358 contributions 69918 visits
In December 2007, the German Federal Cartel Office (FCO) imposed fines totalling almost € 208 million on seven companies active in the liquid gas sector and their managers for participating in an anti-competitive customer-sharing arrangement. The companies concerned, which represent (...)

The EU Commission prohibits multilateral interchange fees for cross-border card payments in the EEA (MasterCard)
DG COMP (Brussels)
Belgium 8 contributions 13016 visits
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DG COMP (Brussels)
United States 5 contributions 2606 visits
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DG COMP (Brussels)
Belgium 2 contributions 959 visits
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"Commission prohibits MasterCard’s multilateral interchange fees for cross-border card payments in the EEA"* On 19 December 2007 the Commission adopted a decision prohibiting MasterCard‘s multilateral interchange fees (MIF) for cross-border card payments with MasterCard and Maestro-branded (...)

The French Competition Authority fines five defibrillator manufacturers for agreeing to boycott a nation-wide call for tender organised by 17 hospitals (Biotronik France)
French Competition Authority (Paris)
France 543 contributions 182484 visits
Press Release published on the official website of the French Competition Authority. The Conseil de la concurrence fines five defibrillator manufacturers for agreeing to boycott a nation-wide call for tender organised by 17 hospitals.* The Conseil de la concurrence issues a decision against (...)

The UK Competition Authority brings for the first time criminal charges based on the Enterprise Act of 2002 for cartel offence (Marine Hoses Cartel)
Innovate Finance (London)
France 30 contributions 88949 visits
On 19 December 2007, the Office of Fair Trading (OFT) charged three UK businessmen with cartel offence under the Enterprise Act. This is the first time that charges have been brought for the cartel offence which came into force in 2003. The three men were arrested at the airport, where they (...)

The Greek Competition Authority fines dairy producers and supermarkets for price-fixing infringement (Vivartia, Megval, Fage, Olympos and Rodopi)
Van Bael & Bellis (Brussels)
Belgium 136 contributions 39204 visits
On 19 December 2007, the Greek Competition Authority adopted a decision concerning a price-fixing infringement committed by the major dairy producers (Vivartia, Megval, Fage, Olympos and Rodopi) and the major supermarket chains (AB Vassilopoulos, Sklavenitis, Afoi Veropouli, Carrefour, (...)

The French Competition Council fines € 3.3 million 5 companies for sharing information and agreeing on prices in public bids in the sector of aerial navigation (Thales, Ineo, Spie)
TokyWoky
France 1 contribution 3598 visits
The 18th of December 2007, the French « Conseil de la Concurrence », applying L. 420-1 of the Commercial Code, condemned 5 companies to pay a € 3.3 million fine for sharing information and agreeing on prices while responding to public procurement calls for tenders organised by the STNA (technical (...)

The French Competition Council applies its leniency programme for the second time (Allied Arthur Pierre, Maison Huet)
Van Bael & Bellis (Brussels)
Belgium 358 contributions 69918 visits
On 18 December 2007, the French Competition Council imposed fines totalling more than € 2 million on twelve removal companies for their involvement in a price-fixing and market-sharing cartel, but granted total immunity to two companies which had revealed the existence of the cartel. The (...)

The Hungarian Competition Authority invokes cartel rules and leniency policy with regard to an exclusive distribution agreement in the healthcare sector (Kortex / Olympus)
Van Bael & Bellis (Brussels)
Belgium 8 contributions 21097 visits
On 18 December 2007, the Hungarian Competition Authority (“GVH”) fined Kortex Mérnöki Iroda Kft. (“Kortex”), a company specialised in the construction of hospitals and the distribution of medical equipment, HUF 77m (approximately € 300,000) for concluding an anti-competitive agreement with Olympus (...)

A Dutch Court holds anticompetitive the termination of a dealer agreement for non-compliance by the retailer with the recommended retail prices (Design v. Eastborn Slaapsystemen)
European Commission - DG HR (Brussels)
47 contributions 200836 visits
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European Court of Justice (Luxembourg)
Luxembourg 23 contributions 85885 visits
MF Design is one of the three hundred retailers in the Netherlands selling bedroom necessities manufactured by Eastborn Slaapsystemen (hereafter “Eastborn”). Eastborn used to issue recommended retail prices, which were published in its price catalogue. In 2004, MF Design announced on its website (...)

The French Competition Authority applies for the second time leniency and highlights discrepancy with EC competition law on concerted practices’ burden of proof ("Removals cartel")
Kramer Levin Naftalis & Frankel (Paris)
France 17 contributions 92543 visits
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Eversheds Sutherland (Paris)
France 14 contributions 80972 visits
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Orrick, Herrington & Sutcliffe (Paris)
France 10 contributions 23368 visits
Summary of the decision Following an investigation with dawn raids and seizures initiated further to a leniency application, the French Competition Council has sanctioned a horizontal cartel between twelve companies in the sector of national and international removals to and from France, (...)

The Hungarian Competition Office grants immunity in proceedings concerning exclusive supply agreement in the context of a public procurement tender (Olympus)
Baker McKenzie (Budapest)
Hungary 16 contributions 35209 visits
According to its press release of 21 December 2007 in its decision concerning an exclusive supply agreement between two undertakings, the Competition Office imposed a fine of HUF 77 million (ca. € 308 000) on Kortex Mérnöki Iroda Kft., a Hungarian engineering company, while it granted immunity (...)

The Italian Supreme administrative Court reduces, on the basis of an innovative analysis of the reliability of the documentary evidence, the duration of an anticompetitive agreement in the gaming and betting market (Lottomatica / Sisal)
Bonelli Erede (Rome)
Italy 41 contributions 50278 visits
On 17 December 2007 the Italian last instance administrative Court (“Consiglio di Stato -Consiglio di Stato”) decided on the appeal brought by Lottomatica and Sisal against the judgement of the first instance administrative Court which had upheld the Italian competition Authority’s decision. In (...)

The Spanish Competition Commission re-opens proceedings against financial institutions for allegedly subordinating the granting of mortgages to the subscription of other insurance related services (Entidades de crédito)
Hogan Lovells (Madrid)
Spain 45 contributions 89380 visits
On 12 December, 2007, the Investigatory Directorate of the National Competition Commission ("IDNCC") formally re-opened a sanctioning proceeding against several banks and saving banks for allegedly conditioning the concession of mortgages to the subscription of certain guarantees (life (...)

The French Competition Authority accepts some commitments to address competition concerns on the sector of distribution of medicines (GlaxoSmithKline and Pfizer)
French Competition Authority (Paris)
France 543 contributions 182484 visits
Press Release published on the official website of the French Competition Authority. Distribution of medicines: GlaxoSmithKline and Pfizer commit themselves in front of the Conseil on the operating of their medicine quota system for wholesale distributors.* History of the case Following (...)

The EU Court of Justice confirms the European Commission’s approach on parental liability (Akzo Nobel)
DG COMP (Brussels)
Belgium 1 contribution 431 visits
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DG COMP (Brussels)
Belgium 4 contributions 2011 visits
"European Court of Justice confirms Commission’s approach on parental liability"* I. The 2004 Commission Decision The case concerns a cartel which operated in the 1990s between the main European producers (and initially US producers) of choline chloride, also known as vitamin B4, a feed (...)

The Hungarian NCA condemns the internal codes of the Chamber of architects and inflicts a € 20.000 fine (Magyar Építész Kamara)
King’s College (London)
United Kingdom 8 contributions 12544 visits
On 11 December 2007, the Gazdasági Versenyhivatal, (GVH, competition authority of Hungary) adopted an infringement decision establishing that several provisions of the Code of Ethics and Discipline, the Code of Tariffs and the draft Code of Competition of Magyar Építész Kamara (MÉK, Hungarian (...)

The Italian Council of State annuls Competition Authority’s decision in technical gases cartel cases (Air Liquide / Sapio / Siad / Sol / Rivoira / Linde / Son / Sico)
Van Bael & Bellis (Brussels)
Belgium 358 contributions 69918 visits
In a recently published judgment of 11 December 2007, the Italian Council of State (“ICS”) has handed down its ruling on the appeals presented by several companies and the Italian Competition Authority (“ICA”) against the judgment of the Lazio Administrative Tribunal (“LAT”) in the industrial gases (...)

The Italian Council of State partially annuls a judgment in the disinfectants cartel case (AstraZeneca / Meda Pharma)
Van Bael & Bellis (Brussels)
Belgium 358 contributions 69918 visits
In a recently published judgment of 11 December 2007, the Italian Council of State partially annulled the judgment of the Lazio Administrative Tribunal upholding the decision of the Italian Competition Authority in the Disinfectants cartel case. The Council of State entirely upheld the appeals (...)

The UK OFT employs a form of direct settlement and agrees over € 155 M penalties in dairies cartel case (Asda, Dairy Crest, Safeway, Sainsbury’s)
University of East Anglia (Norwich)
United Kingdom 26 contributions 21300 visits
Background On 20 September 2007, the UK’s Office of Fair Trading (OFT) issued a Statement of Objections (SO) in which it provisionally found evidence of collusion on the retail price of certain dairy products between a number of large supermarkets and dairy processors. The SO found that these (...)

The UK OFT having issued a statement of objections alleging that supermarkets and dairy processors colluded to fix the prices of milk, cheese and butter, some of the concerned undertakings agree to pay individual penalties collectively reaching nearly € 150 M ("Supermarkets and dairies price fixing")
Compass Lexecon (London)
United Kingdom 4 contributions 11457 visits
Summary The OFT has issued a Statement of Objections alleging that certain supermarkets and dairy processors colluded to fix the prices of milk, cheese and butter,. Some of those players have now admitted their involvement and have agreed to pay individual penalties that collectively reach (...)

The Versailles Court of Appeal rules on notice of termination by motor vehicle supplier (Daimler Chrysler France)
Van Bael & Bellis (Brussels)
Belgium 136 contributions 39204 visits
On 6 December 2007, the Versailles Court of Appeal (the “Court”) found that a motor vehicle supplier (DaimlerChrysler France) was entitled to terminate its dealership agreements on one year’s notice before the end of the transition period (i.e., 30 September 2003) provided for in Commission (...)

The Japan Fair Trade Commission imposes surcharges on participants in bidding for high and medium pressure gas pipe related works (Sumitomo Metals Pipe & Tube and Nippon Steel)
Japan Fair Trade Commission (Tokyo)
Japan 110 contributions 13280 visits
Surcharge Payment Order issued to bidders for high pressure gas pipe related works procured by Tokyo Gas Co., Ltd., and medium pressure gas pipe related works procured by Osaka Gas Co., Ltd. * The Japan Fair Trade Commission (JFTC) had conducted investigations against the bid participants for (...)

The Regional Court of Hamburg rules on exclusive smartphone distribution agreements (Apple / T-Mobile)
Gleiss Lutz (Munich)
Germany 28 contributions 47640 visits
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Milbank, Tweed, Hadley & McCloy (Munich)
Germany 28 contributions 47640 visits
On 4 December 2007 the German Regional Court of Hamburg issued a decision on the compatibility with competition law and the law against unfair practices of the exclusive distribution agreement concluded between the German mobile network operator T-Mobile and the American multinational (...)

The Hungarian Competition Authority condemns an RPM scheme concerning navigation devices and PDA software (Navi-Gate)
Oppenheim (Budapest)
Hungary 37 contributions 97590 visits
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Oppenheim (Budapest)
Hungary 35 contributions 73018 visits
Description of the impugned case A number of distribution agreements by Navi-Gate for the sale of navigation devices and PDA software contained straightforward RPM clauses. Albeit certain agreements contained the express term « recommended » prices, the HCO found that the language of the (...)

The Hungarian Competition Council imposes a fine for resale price maintenance, prohibits recommended retail prices amounting to vertical price fixing but terminates proceedings against distributors not actively participating in the infringement in the markets of PNA devices and PDA navigation software (Navi-Gate)
Baker McKenzie (Budapest)
Hungary 16 contributions 35209 visits
The Hungarian Competition Office fined Navi-Gate Kft HUF 43 million (ca. EUR 170 000) for entering into illegal vertical agreements with sub-distributors fixing the retail price of Garmin navigation (PNA) devices and the I-Go navigation software for PDA devices. Although the investigation was (...)

Unilateral Practices

 The Slovak Competition Authority imposes a fine for abuse of dominant position in the telecommunication market (Slovak Telekom)
Van Bael & Bellis (Brussels)
Belgium 189 contributions 50267 visits
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Practising Law Institute (New York)
United States 92 contributions 24180 visits
On 27 December 2007, the Slovak Antimonopoly Office imposed a fine of 525.8 million SKK (approximately € 15.5 million) on Slovak Telekom for abusing its dominant position in the telecommunication market under both Slovak and EC competition law by charging its competitors unfair interconnecting (...)

The Swiss Government aims at prohibiting the parallel importations of patent-protected products into Switzerland
ABELS Avocats (Geneva)
Switzerland 3 contributions 11967 visits
Introduction The interactions between competition law and intellectual property rights give rise to a series of interesting legal issues. What is currently being debated in Switzerland is the scope of the rights that are to be granted to the holder of a Swiss patent and the impact of such (...)

The German Parliament reforms the Act against restraints of competition in order to fight against price abuses in the energy and food trade sectors
Freshfields Bruckhaus Deringer (Berlin)
Germany 31 contributions 119244 visits
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Freshfields Bruckhaus Deringer (Berlin)
Germany 17 contributions 70066 visits
The German parliament voted on a reform to the Act against Restraints of Competition (ARC) which is inter alia aimed at improving the fight against price abuses by companies in the energy and food trade sectors. Both reforms are unrelated to each other even though both were intensively (...)

The Danish High Court upholds the Competition Authority’s decision, which found that the national postal carrier incumbent had abused its dominant position on the market for unaddressed mail by applying different prices to its own customers and the former customers of a competitor (Post Danmark)
Danish Competition and Consumer Authority (Copenhagen)
Denmark 40 contributions 72203 visits
On 21 December 2007, the Danish Eastern High Court upheld a decision by the Danish Competition Appeals Tribunal according to which the national postal operator, Post Danmark, had abused a dominant position on the market for unaddressed mail by charging different prices to its own customers (...)

The Polish Competition Authority fines the largest telecom operator a record fine of € 20 M for abusing its dominant position on the Internet access market (Telekomunikacja Polska)
Allen & Overy (Warsaw)
Poland 2 contributions 14317 visits
On 20 December 2007 the President of the Polish Office for Competition and Consumer Protection (OCCP) issued a decision imposing a fine of PLN 75 million (approximately EUR 20 million) on Telekomunikacja Polska S.A. (TPSA), the incumbent telecom operator in Poland, for abusing its dominant (...)

The Brussels Court of Appeal annuls the Belgian Competition Authority’s interim decision on the telecom incumbent’s bundled tariffs (Tele2)
Oracle (Brussels)
Belgium 1 contribution 9418 visits
Background information Belgacom used to be the autonomous public-sector company that ruled the government monopoly in telecommunications. This was the case until 1994, when the company changed into a “société anonyme”, and the liberalization of the telecom sector was initiated (which was fully (...)

The French Competition Authority renders a landmark interim decision on competition between princeps and generics (Arrow / Schering-Plough)
Fréget (Paris)
France 38 contributions 130581 visits
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Novartis (Basel)
Switzerland 6 contributions 36010 visits
By a decision of 11 December 2007, the Competition Council issued yet another decision concerning the (difficult) competition between princeps and generics at the time when the latter enter a market which becomes accessible upon expiry of the former’s intellectual property rights. Although this (...)

The French Competition Authority sanctions an association of undertakings for having abused of its dominant position by conditioning the access to film distributors to certain areas (GIE Ciné Alpes)
French Competition Authority (Paris)
France 543 contributions 182484 visits
Running of cinemas: The Conseil de la concurrence condemns the GIE Ciné Alpes for having conditioned the access to certain distributors to areas where it had a monopoly to the obtaining of exclusivity or priorities in areas where it was in competition with other cinema owners.* Following a (...)

The French Competition Authority orders interim measures particularly to address denigration practices implemented in the pharmaceutical sector (Arrow / Schering-Plough)
French Competition Authority (Paris)
France 543 contributions 182484 visits
The Conseil de la concurrence orders Schering Plough laboratory to remind doctors and pharmacists the exact bioequivalence of its brand name drug Subutex® with competing generic drugs* Following a complaint by Arrow Génériques company for practices implemented by Schering Plough laboratory, at (...)

The French Competition Authority accepts the commitments made by the French energy incumbent to address competition concerns regarding the wholesale electricity supplies for retail sale (Direct Energie / EDF)
French Competition Authority (Paris)
France 543 contributions 182484 visits
Deregulation in the market for electricity supplies: A new wholesale offer proposed by EDF will allow alternative retail suppliers to effectively compete with the incumbent operator’s retail sales on the free market.* Following a complaint filed by Direct Energie on 22 February 2007, concerning (...)

The Polish Supreme Court confirms that the authors’ association falls within the scope of national competition law provisions (ZaiKS)
French National Research Agency - ANR (Paris)
France 37 contributions 152915 visits
The Authors’ Association ZaiKS (hereafter: ZAiKS) is the biggest and the oldest music collecting management organization in Poland and a member of CISAC, i.e. the International Confederation of Societies of Authors and Composers. While at the EC level the EC Commission has condemned the use of (...)

The German Higher Regional Court of Düsseldorf rules on refusal to supply case in the market for travel lodge cards ("Lodge Card")
Van Bael & Bellis (Brussels)
Belgium 189 contributions 50267 visits
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Practising Law Institute (New York)
United States 92 contributions 24180 visits
In its recently published decision dated 5 December 2007, the Higher Regional Court of Düsseldorf held that a leading undertaking in the travel services market had abused its dominant position by refusing to supply to a travel lodge card supplier authorisations to issue VAT information on the (...)

The German Higher Regional Court of Düsseldorf implicitly applies the essential facilities doctrine in the travel services credit card sector (Royal Bank of Scotland / Lufthansa)
White & Case (Frankfurt)
Germany 3 contributions 8281 visits
In a decision dated 5 December 2007, the Higher Regional Court of Düsseldorf (the Court) ordered Deutsche Lufthansa AG (Lufthansa) to grant the permit to Royal Bank of Scotland plc. (RBS) to list the turnover tax for the travel services supplied by Lufthansa inner-Germany on its credit card (...)

The Austrian Supreme Court revokes settlement obligations by a dominant undertaking due to altered market conditions (Mediaprint / Moser Holding)
DORDA (Wien)
Austria 8 contributions 28950 visits
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OBB (Vienna)
Austria 5 contributions 17438 visits
Background In 1999 Moser Holding (the publisher of the Tyrolean daily newspaper "Tiroler Tageszeitung") filed an application pursuant to sec. 35 Austrian Cartel Act 1988 before the Austrian Cartel Court, alleging its competitor Mediaprint (the publisher of national daily newspapers "Krone" and (...)

Mergers

 The Lithuanian Competition Council cleared an acquisition in the wholesale and retail markets of distribution of press with certain structural and behavioural remedies (Rautakirja/Impress Teva)
Amazon (Singapore)
Singapore 18 contributions 38038 visits
The operation By a decision dated 29 December 2007, the Lithuanian Competition Council authorized in phase II the acquisition by Rautakirja OY (« Rautakirja ») of 100 % shares of UAB Impress Teva (« Impress Teva »), increasing the shareholding from 51 % to 100 % and acquiring a single control (...)

The Lithuanian Competition Council clears a concentration in the press distribution market subject to strict remedies (Rautakirja - Impress Teva)
Cobalt Legal (Vilnius)
9 contributions 18275 visits
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Valiunas Ellex (Vilnius)
Lithuania 11 contributions 16106 visits
On 11 January 2008, the Competition Council of the Republic of Lithuania (hereinafter the “Competition Council”) conditionally cleared the acquisition of sole control in Impress Teva UAB (hereinafter “Impress Teva”), of Lithuania, by Rautakirja Oy (hereinafter “Rautakirja”), of Finland. Prior to the (...)

The Portuguese Competition Authority issues a clearance decision regarding an acquisition in the passenger airline services market (EasyJet / GB Airways)
PLMJ (Lisbon)
Portugal 1 contribution 38 visits
On 20 December 2007, the Portuguese Competition Authority (PCA) issued its clearance decision regarding the acquisition of GB Airways Limited (GB Airways) by EasyJet Airlines Company Limited (EasyJet). I. The Parties EasyJet is one of the biggest European airlines, a wholly subsidiary of (...)

The Portuguese Competition Authority clears in Phase I with behavioural and structural remedies a merger in the large food retail distribution sector (Sonae / Carrefour)
Uria Menéndez (Lisbon)
Portugal 10 contributions 39154 visits
On 27 December 2007, the Portuguese Competition Authority (the “AdC”) adopted a merger control decision according to Law 18/2003 of 11 June (the Portuguese Competition Act), providing clearance to the envisaged acquisition of sole control over Carrefour’s hypermarket chain in Portugal (...)

The Portuguese Competition Authority clears a merger in the food and fuel retail distribution markets with remedies, including limitation and reduction of sale areas and not to apply for new licences (Sonae / Carrefour)
PLMJ (Lisbon)
Portugal 17 contributions 37522 visits
The operation Sonae Distribuição (Sonae) is a sub-holding of the Sonae Group which operates in food and non-food retail markets. Carrefour Portugal (Carrefour) is a company of the Carrefour Group which operates in food retail markets. Sonae proposed acquiring 99,8648% of Carrefour issued share (...)

The Turkish Competition Authority cleared a merger in the medical devices markets subject to limitation of the non-compete obligation (GE-AMS)
Esin (Istanbul)
Turkey 51 contributions 92477 visits
The operation GE is a publicly held company that the shares of GE are being traded on New York, Boston and London Stock Exchanges. GE consists of six business lines which are GE Infrastructure, GE Industrial, GE Commercial Finance, NBC Universal, GE Healthcare and GE Money. The contemplated (...)

The Austrian Federal Competition Authority clears with remedies the creation of a joint venture in the market for recycling cooling appliances (UFH / Remondis)
NERA (Berlin)
15 contributions 27569 visits
The operation UFH Holding GmbH (UFH) is based in Vienna, Austria and is active in the market for collecting and recovering raw materials from waste and in particular collecting and recovering electrical and electronic appliances. Remondis Electrorecycling GmbH (Remondis) is a world-wide waste (...)

The UK Competition Commission requires broadcasting group to sell down its minority stake in rival (BSkyB / ITV)
GE Healthcare(Paris)
France 2 contributions 681 visits
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McCann FitzGerald (Dublin)
Ireland 1 contribution 194 visits
Background In November 2006 BSkyB (“Sky”), the leading pay TV-provider in the UK, purchased a 17.9% stake in ITV, one of the leading commercial free to-air broadcasters in the UK. The timing of the purchase was widely commented on given that it came within days of NTL announcing a possible (...)

The French Minister of Economy requires in Phase I important remedies to address concerns of bundling in a merger of newspapers and magazines publishers (LVMH / Les Echos)
RBB Economics (Brussels)
Belgium 22 contributions 60586 visits
On 19 December 2007 the French Minister of Economy, Finance and Employment (hereafter “the Minister”) cleared, after a “Phase I” investigation, the acquisition by the group LVMH of Les Echos S.A., publisher of the leading business newspaper Les Echos and of magazines specialised in economic and (...)

The German Bundeskartellamt clears a merger in the gas supply market subject to the divestiture of minority stakes in two energy supply companies (E.ON Avacon / WEVG)
Baker McKenzie (Dusseldorf)
Germany 34 contributions 81826 visits
The operation On 25 September 2007, E.ON Energie AG (“E.ON Energie”) on behalf of E.ON Avacon AG (“E.ON Avacon”) notified the Bundeskartellamt of its intention to increase its stake in the equity capital of WEVG Wasser- und Energieversorgungsgesellschaft mbH Salzgitter (“WEVG”) from 10% to 50.2%. (...)

The US FTC imposes civil penalty for pre-merger filing violations related stock acquisitions (ValueAct)
Skadden, Arps, Slate, Meagher & Flom (New York)
United States 13 contributions 2209 visits
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Skadden, Arps, Slate, Meagher & Flom (New York)
United States 9 contributions 1844 visits
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Skadden, Arps, Slate, Meagher & Flom (Washington DC)
United States 7 contributions 920 visits
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The Federal Trade Commission earlier this week obtained a $1.1 million civil penalty against ValueAct Capital Partners, L.P. (“ValueAct”) for ValueAct’s failure to file the required Hart-Scott-Rodino (“HSR”) premerger notifications before acquiring additional shares of voting securities of (...)

The EU Court of Justice upholds the European Commission decision in the Dutch building materials case (CVK)
DG COMP (Brussels)
Belgium 17 contributions 7657 visits
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DG COMP (Brussels)
Belgium 5 contributions 1841 visits
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DG COMP (Brussels)
Belgium 3 contributions 1122 visits
"ECJ upholds Commission decision in Dutch building materials case CVK"* On 18 December 2007, the European Court of Justice (ECJ) dismissed an appeal lodged by the Dutch firm Cementbouw against the Court of First Instance’s (CFI) judgment of 23 February 2006 in Case T-282/02 Cementbouw v (...)

The Portuguese Competition Authority requests the examination of a merger by the European Commission (Associated British Foods)
Morais Leitão, Galvão Teles, Soares da Silva (Porto)
Portugal 10 contributions 1632 visits
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Morais Leitão, Galvão Teles, Soares da Silva (Porto)
Portugal 11 contributions 1637 visits
I. Introduction On October 11, 2007, the Portuguese Competition Authority (PCA) was notified of a concentration under which Associated British Foods, Plc (ABF) notified the acquisition of sole control over several assets and companies of GBI Holding, B.V., including in Portugal GBI, (...)

The Lithuanian Competition Council conditionally clears in phase II a merger in the wholesale market for transmission of television signals and retail multi channel subscription television market (TEO LT/Nacionalinë skaitmeninë televizija)
Amazon (Singapore)
Singapore 18 contributions 38038 visits
The operation By a decision dated 13 December 2007, the Lithuanian Competition Council authorized in phase II the acquisition by TEO LT AB (« TEO LT ») of 100 % shares of UAB Nacionalinë skaitmeninë televizija (« Nacionalinë skaitmeninë televizija ») . The market(s) The relevant markets have been (...)

The Italian Competition Authority gives the go-ahead to the creation of a new multiutility operator with structural remedies (AEM / ASM Brescia)
Desogus Law Office (Cagliari)
Italy 134 contributions 116186 visits
A) The proposed merger The Italian Competition Authority has unconditionally approved a merger between two publicly-owned multiutility firms, AEM and ASM Brescia (ASM). According to the merger agreement, AEM shall absorb ASM and the resulting entity shall be denominated A2A. The municipality (...)

The Turkish Competition Authority authorised a foreign-to-foreign merger cleared by the EC Commission subject to partly the same remedies imposed at the EC level (Owens-Saint Gobain)
Esin (Istanbul)
Turkey 51 contributions 92477 visits
The operation Owens is a USA based company active worldwide in the production and sale of glass fibre reinforcements, composite fabrics and building materials. It does not carry any manufacture activities in Turkey. Saint Gobain is a French company active worldwide in the manufacture and sale (...)

The French Minister of Economy fines for the first time a company for failure to notify a merger prior closing (Pan Fish)
Coty (Paris)
France 3 contributions 14995 visits
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Bredin Prat (Brussels)
Belgium 2 contributions 8371 visits
By a letter dated 30 August 2006, a Norwegian company called Pan Fish informed the French Minister of Economy (the Minister) of a closed merger operation which it had failed to notify pursuant to the French merger control rules. This transaction related to the acquisition by the second world (...)

The French Minister of Economics clears a merger in the sector of regional press with remedies, including bundling prohibition (GHM/Lagardère)
University Paris II Panthéon‑Assas
France 22 contributions 55072 visits
The operation By a letter dated 7 December 2007, the French Minister of Economy, Finance, and Employment authorised the merger between two companies in the sector of daily and weekly regional press and Internet : Groupe Hersant Media (hereinafter « GHM ») and Groupe Lagardère (hereinafter « (...)

The Irish Competition Authority clears a merger in the market for radio stations subject to the divestment of a previously acquired station (Communicorp/SRH)
University of Geneva
Switzerland 22 contributions 42456 visits
The operation On 7 December 2007, the Irish Competition Authority (ICA) cleared the acquisition of three radio stations of Scottish Radio Holdings (SRH) by Communicorp subject to remedies. Communicorp’s main business interests are in radio broadcasting in Ireland as well as Eastern and (...)

The Norwegian Competition Authority approved with behavioural remedies a merger in the chickens for slaughter market (Nortura/Hå Rugeri)
Bull Årstad (Stavanger)
15 contributions 31718 visits
The operation On 25 April 2007, the Norwegian Competition Authority (NCA) was notified 之f the acquisition by Nortura BA of 51% of the shares of Hå Rugeri AS. Nortura is a co-operative owned by approximately 30,000 farmers. Nortura is organized as a group with several subsidiary companies and (...)

The EU Commission clears an acquisition in the engineering and supplying a range of energy and fired waste-to-energy plants for incinerating municipal waste (AEE / Lentjes)
JG Associates (Brussels)
205 contributions 57653 visits
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DG COMP (Brussels)
Belgium 169 contributions 48656 visits
"Mergers: Main developments between 1 September and 31 December 2007"* Also in December the Commission cleared the acquisition of Lentjes GmbH of Germany by Energy & Environment AG & Co KG (AEE), which is part of the Austrian A-Tec group. Both AEE and Lentjes are active in engineering (...)

The German Bundeskartellamt cleared a merger in the retail market for DIY products and hardware goods subject to remedies including the divestiture of several shops (Globus/hela Profizentren)
Baker McKenzie (Dusseldorf)
Germany 34 contributions 81826 visits
The operation On 9 August 2007 Globus Fachmärkte GmbH & Co. KG (“Globus”) notified the Bundeskartellamt of the proposed acquisition of 100% of the shares of the following businesses from Distributa Gruppe: (1) G.V.M. Gewerbe- und Verbrauchermarkt GmbH, (2) Distributa Verbrauchermarkt GmbH (...)

The EU Commission declares part of conditions imposed by Spain energy regulator on a proposed acquisition in the energy sector incompatible with EU law and requires their withdrawal (Enel / Acciona / Endesa)
JG Associates (Brussels)
205 contributions 57653 visits
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DG COMP (Brussels)
Belgium 169 contributions 48656 visits
"Mergers: Main developments between 1 September and 31 December 2007"* The acquisition of joint control of Endesa by Enel and Acciona was notified to the Commission on 31 May and cleared on 5 July. Under the relevant national law, Enel and Acciona requested the Spanish energy regulator (...)

The EU Commission gives Spain one month to withdraw conditions imposed on a merger unconditionally approved by the Commission (Enel / Acciona / Endesa)
Van Bael & Bellis (Brussels)
Belgium 228 contributions 57515 visits
On 15 May 2008, the European Commission announced that it has formally asked Spain to withdraw, within one month, the conditions that were imposed by the Spanish National Energy Commission (CNE) and the Spanish Minister of Industry and Tourism on the Enel/Acciona/Endesa transaction, in spite of (...)

The European Commission clears an acquisition in the wireless telecommunications industry (Syniverse/BSG)
JG Associates (Brussels)
205 contributions 57653 visits
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DG COMP (Brussels)
Belgium 169 contributions 48656 visits
"Mergers: Main developments between 1 September and 31 December 2007"* In December the Commission decided to clear the acquisition by the US technology group Syniverse of the BSG Group’s wireless business, providing data and financial clearing services to wireless telecommunication companies (...)

State Aid

 The French State Council rules that the variations in the contribution paid by users of a public service does not constitute a modification of a State aid scheme approved by the EU Commission (Federation nationale)
Sheppard, Mullin, Richter & Hampton (Brussels)
Belgium 340 contributions 631709 visits
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European Court of Justice (Luxembourg)
Luxembourg 64 contributions 112677 visits
Factual Background The appellant seeks the annulment of a decree relating to the calculation and the rate of a tax on slaughtering. The tax is instituted in application of a provision of the General Tax code (Article 302 bis ZD) is applied to slaughterhouse and is designed to finance the (...)

The Italian Court of First Instance of Rome confirms the recovery of an unlawful aid and holds that the statute of limitation set forth is also applicable to the recovery sought by national public bodies (Ericsson Telecomunicazioni)
EUJUS Law Firm (Rome)
Italy 16 contributions 26905 visits
Factual background The applicant was a major company in the telecommunications sector, and had benefited from pension contribution breaks with respect to work and formation contracts (i.e. CFL, contratti di formazione e lavoro) between 1995 and 2001. The European Commission, through Decision (...)

The French Administrative Court of Appeal of Marseille dismisses the appeal of tax payers claiming the refund of the tax on meat purchases judging an absence of hypothecation of the levy to aid measure (Tax on meat purchases)
Sheppard, Mullin, Richter & Hampton (Brussels)
Belgium 340 contributions 631709 visits
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European Court of Justice (Luxembourg)
Luxembourg 64 contributions 112677 visits
Factual Background The appellants seek the annulment of the administrative tribunal of Nice decision rejecting its demand for tax paid on meat purchases. The tribunal had judged that considering that the tax had been integrated in the general budget of the State, it was not obliged to rule on (...)

The European Commission addresses the issue of the market economy investor principle in a State aid case concerning the electronic communications sector (Citynet Amsterdam)
European Ombudsman (Strasbourg)
France 4 contributions 1752 visits
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DG Economic and Financial Affairs (ECFIN) (Brussels)
Belgium 3 contributions 1475 visits
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DG COMP (Brussels)
Belgium 5 contributions 1677 visits
"Citynet Amsterdam: an application of the market economy investor principle in the electronic communications sector"* I. Introduction Broadband networks are considered to be the key infrastructure of the knowledge economy. Access to broadband services has become vital for businesses and (...)

The European Commission considers that tax credits for research and development activities granted by Italian government does not constitute State aid
DG COMP (Brussels)
4 contributions 1157 visits
"Italy gets all clear for R&D tax credits"* In September 2007 Italy notified the Commission of a tax credit for expenditure on research and development (R&D) activities of up to a maximum of €15 million offering (i) 10% credit for R&D expenditure incurred in-house and (ii) 15% (...)

Procedures

 The Italian Parliament adopts a class action law (Budget Law n°244)
Van Bael & Bellis (Brussels)
Belgium 219 contributions 35430 visits
From the beginning of 2010, Italian consumers have been able to bring or join a collective damages action regarding unlawful commercial practices (including breaches of competition rules). Indeed, following two years of amendments being made to the legislation in question and its postponed (...)

The French Administrative Supreme Court rules that it has jurisdiction to impose compensations to undertakings punished by competition authorities as they have misled a contracting authority during public procurement award procedures (SNCF vs. Campenon-Bernard and others)
Schmitt Avocats (Paris)
France 16 contributions 86386 visits
The commented decision presents a new important step regarding the integration of competition rules into French administrative law and its consequences for administrative litigation rules. It also puts an end to an important dispute opposing SNCF, the French public railways operator, and (...)

The EU Member States adopt a new treaty
Van Bael & Bellis (Brussels)
Belgium 219 contributions 35430 visits
Following its ratification by the Czech Republic, the last Member State to do so, the Treaty of Lisbon enters into force on 1 December 2009. On 30 October 2009, at the European Council, EU leaders agreed to offer the Czech Republic an opt-out from the EU’s Charter of Fundamental Rights, the same (...)

The Luxembourg Government issues a draft bill for a more efficient competition policy, with, inter alia, a single competition authority (Draft Bill n° 5816)
Moyse Bleser (Luxembourg)
23 contributions 85563 visits
On 10 December 2007, the Minister of the Economy and Foreign Trade submitted a draft bill (No 5816) (the Draft Bill), proposing substantial revisions to the law of 17 May 2004 on competition (the Law on Competition). Under the Draft Bill, the substantial rules (relating to the prohibition of (...)

The Luxembourg Government proceeds to consultation following the submission of the draft bill aimed at reforming the 2004 Competition Act (Draft Bill n° 5816)
Moyse Bleser (Luxembourg)
23 contributions 85563 visits
In December 2007, the Minister of the Economy and Foreign Trade (Minister) submitted a draft bill to Parliament (Draft Bill) with the aim of reforming the law of 17 May 2004 on competition, as amended (the Law on Competition). Although no serious assessment was made concerning the three years (...)

Le Conseil de la concurrence applique pour la première fois l’arrêt Akzo sur le legal privilege (Défibrillateurs cardiaques implantables)
Ashurst (Paris)
France 68 contributions 243882 visits
Article published in French in Concurrences, N° 1-2008, pp. 176-178. Il était reproché à cinq sociétés de s’être entendues afin de faire échouer l’achat groupé de défibrillateurs par 17 Centres Hospitaliers Universitaires (CHU). Plusieurs moyens de procédure avaient été soulevés par les parties dont la (...)

Regulatory

 The French Parliament adopts legislative initiative on the development of competition for the benefit of consumers
Van Bael & Bellis (Brussels)
Belgium 219 contributions 35430 visits
On 20 December 2007, the French Parliament adopted a new law on the development of competition for the benefit of consumers, which was promulgated on 3 January 2008 (see Law No. 2008-3 of 3 January 2008 on the development of competition for the benefit of consumers, French Official Journal, 4 (...)

The UK OFT makes recommendations to government on UK medicines distribution
Euclid Law (London)
United Kingdom 16 contributions 4002 visits
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Linklaters (London)
United Kingdom 5 contributions 643 visits
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Kirkland & Ellis (London)
Royaume-Uni 7 contributions 759 visites
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On 11 December 2007, the OFT issued the results of its market study into the distribution of medicines in the UK. The review was initiated after Pfizer announced it would be introducing a Direct to Pharmacy (DTP) distribution model, appointing Unichem as its exclusive Logistics Service (...)

The French Administrative supreme Court partly annuls the natural gas regulated retail price as the ministerial order does not allow the incumbent to cover its average total costs (Poweo a. o.)
University Aix-Marseille
France 8 contributions 21415 visits
1 The regulatory background Directive 98/30/EC followed by Directive 2003/55/EC liberalized the market by broadening progressively the category of eligible clients, authorized to choose their supplier. Pursuant to article 23-1 of Directive 2003/55/EC, “Member States shall ensure that the (...)

The UK Office of Communications publishes annual report considering the impact of the Telecoms Review and BT undertakings on the telecoms market (BT Undertakings)
Allen & Overy (London)
United Kingdom 3 contributions 8163 visits
Introduction In 2004, the UK Office of Communications (Ofcom) conducted a strategic review of the UK telecommunications sector (the Review). The Review led to the imposition of a set of undertakings on British Telecom (BT), the UK incumbent telecoms provider (the BT Undertakings), which were (...)

The German Federal Court of Justice finds that the Federal Network Agency has no right of participation in respect of civil litigation proceedings concerning payments for rail network usage (Beteiligung der Bundesnetzagentur II)
Hengeler Mueller (Dusseldorf)
Germany 16 contributions 47904 visits
I. Background and facts of the case The claimant is a subsidiary of the Deutsche Bahn (DB) and operates the predominant part of the railway network in Germany. The defendant is a private railway company offering services in the field of railway cargo transportation. In this respect it is (...)

The Estonian Supreme Court upholds the judgment of county court terminating the proceedings against State postal monopoly on misdemeanour charges on the grounds of an abuse of dominant position (Eesti Post)
Arnold & Porter Kaye Scholer (Brussels)
Belgium 2 contributions 1479 visits
The Estonian Competition Authority fined AS Eesti Postin expedite proceedings for an abuse of dominant position (unequal treatment, fidelity rebates). Eesti Post appealed the decision. On October 3, 2007, the Supreme Court decided to partially satisfy the cassation and declared the decision of (...)

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