The Czech Supreme Administrative Court decides that, under Czech legislation in force prior to 1st. Sept. 2009, sanctions for an infringement of competition law may be imposed on the legal successor of the infringing entity where an intra group merger has been carried out in order to avoid said sanctions (Petrol cartel)

By a judgment of 30 December 2009, the Czech Supreme Administrative Court annulled an earlier judgement by the Regional Court in Brno in the Petrol cartel case over the issue of legal succession with respect to sanctions for an infringement of competition law. During the course of the proceedings before the Czech NCA, the Office for the Protection of Competition, two of the companies having allegedly participated in the cartel ceased to exist following a merger with another company of their respective groups. According to the Regional Court in Brno [1], succession in administrative proceedings was possible in matters in rem, i.e., in the present case, with respect to the verdict on the existence of a cartel. It was, however, excluded with respect to in personam proceedings, such as

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  • Czech Ministry of Justice (Prague)

Citation

Jan Převrátil, The Czech Supreme Administrative Court decides that, under Czech legislation in force prior to 1st. Sept. 2009, sanctions for an infringement of competition law may be imposed on the legal successor of the infringing entity where an intra group merger has been carried out in order to avoid said sanctions (Petrol cartel), 30 décembre 2009, e-Competitions December 2009, Art. N° 30784

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