July 1997

Anticompetitive practices

Unilateral Practices

The Maltese Competition Authority stops investigation on alleged abuse of dominant position ruling that the agent was economically integrated with its principal and formed a single economic entity (GRTU)
King’s College (London)
,
Superior Courts of Malta (Valletta)
The purpose of competition law is to enhance consumer welfare: the most obvious infringement of the law is a horizontal agreement whereby the members of a cartel impose higher prices on their customers. However, many cases do not fit this fact pattern: often one of the parties to an agreement, (...)

The EU Court of Justice states that a dominant public undertaking which owns a commercial port applies dissimilar conditions to equivalent transactions to other trading parties (GT-Link/ De Danske Statsbaner)
European Court of Justice (Luxembourg)
Case C-242/95 GT-Link A/S v De Danske Statsbaner (DSB)* 1. It is contrary to Article 95 of the Treaty for a Member State to impose a 40% import surcharge on a general duty levied on goods loaded, unloaded, or otherwise taken on board or landed within its ports or in the deep-water approach (...)

Mergers

The EU Commission authorises the merger between two US civil and military aerospace companies raising the issue of international cooperation in antitrust matters (Boeing / McDonnell Douglas)
European Commission - DG COMP (Brussels)
"International co-operation in antitrust matters: making the point in the wake of the Boeing/MDD proceedings"* Faced with “global” cases antitrust authorities worldwide need to cooperate Global trade and competition have an impact on most of the policies carried out by Governments all over the (...)

The EU Commission approves, subject to remedies, a merger between two US civil and military aerospace companies (Boeing / McDonnell Douglas)
European Commission - DG COMP (Brussels)
"Merger : Summary of the most important recent developments"* After an intensive five-month investigation, the Commission found that Boeing, a fully integrated civil and military aerospace company, already had a dominant position in the worldwide market for large commercial jet aircraft. (...)

State Aid

The EU Commission decides to close proceedings in a case concerning an aid granted by Spain to a formerly State-owned company (Grupo de Empresas Álvarez)
European Commission - DG COMP (Brussels)
"SPAIN (Galicia). Aid to Grupo de Empresas Álvarez (GEA)"* The Commission has decided on 15 July to close the Article 93(2) proceeding by approving the State aid which had been awarded to Grupo de Empresas Álvarez (GEA) under conditions. GEA manufactures tableware products and is located in (...)

Procedures

The EU Commission adopts the second report on application of the agreement between the EC and the Government of the USA regarding the application of their competition laws
Freshfields Bruckhaus Deringer (Brussels)
"Report on application of the Agreement between the European Communities and the Government of the United States of America regarding the application of their competition laws, 1 July 1996 to 31 December 1996"* On 4 July 1997 the Commission adopted the second report on the application of the (...)

The Irish Supreme Court confirms an historic award of damages against the Electricity Supply Board for its unintentional abuse of a dominant position (Donovan)
London School of Economics (London)
Summary of the relevant facts The plaintiffs worked as electrical contractors in the South of Ireland. Their work primarily involved the installation of different types of electrical plaint equipment in private residences and on farms. In other words, they provided electrical contracting (...)

The EU Commission adopts jointly with the Council a final draft concerning a cooperation agreement between the EC and Canada on the application of their competition laws
Freshfields Bruckhaus Deringer (Brussels)
"EC/Canada Cooperation Agreement"* In the beginning of July 1997 a draft Agreement between the European Communities and the Government of Canada regarding the application of their competition laws was finalised. This draft has been approved by the Council’s Working Group on Economic Questions (...)

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