The EU General Court considers whether a presumption providing for the liability of parent companies constitute an error of law and whether an incorrect legal standard is applied by the Commission (Sasol and Others)

On July 11, 2014 in Sasol and Others v European Commission [1], the General Court considered whether a presumption providing for the liability of parent companies due to the anti-competitive conduct of their subsidiary constituted an error of law and whether an incorrect legal standard had been applied by the Commission [2]. The General Court also assessed whether application of the presumption operated in contravention of the principle of personal responsibility and the presumption of innocence [3]. It was held that parent companies that are both directly and indirectly related to a wholly owned subsidiary may be found jointly and severally liable for a subsidiary’s anti-competitive market conduct [4]. Additionally, an automatic finding of “decisive influence” under this presumption

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Robert Miklós Babirad, The EU General Court considers whether a presumption providing for the liability of parent companies constitute an error of law and whether an incorrect legal standard is applied by the Commission (Sasol and Others), 11 July 2014, e-Competitions Bulletin July 2014, Art. N° 68718

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