The Spanish Supreme Court reduces fine due to the lack of clarity of the legal framework that liberalized the market affected by the infringement (BT / Telefónica)

On 23 March 2005, the Spanish Supreme Court considered that the lack of clarity of the legal framework that liberalized the market affected by Telefónica's abusive conduct justified a reduction of the fine the Spanish Competition Authority imposed on Telefónica, S.A. (“Telefónica”) from 3.4 million euros to 1.8 million euros. Background On January 21, 1999, the former Spanish Competition Court (Tribunal de Defensa de la Competencia) [1] stated in Resolution 412/97, BT/Telefónica, that Telefónica had infringed Article 6 of the former Spanish Competition Act [2] , referring to two infringements in particular. First, an abuse of dominance by applying different conditions to equivalent transactions, placing BT Telecomunicaciones SA (“BT”) in a disadvantageous position with regard to Telefónica :

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Eider Echeverría Álvarez, María González Navarrete, The Spanish Supreme Court reduces fine due to the lack of clarity of the legal framework that liberalized the market affected by the infringement (BT / Telefónica), 23 March 2005, e-Competitions Bulletin March 2005, Art. N° 21254

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