Although cartels with a global reach are increasingly common, recent decisions from courts in both the United States and United Kingdom have narrowly interpreted the territorial scope of antitrust laws in both jurisdictions. In the United States, the Seventh Circuit held in Motorola Mobility LLC v. AU Optronics Corporation that indirect purchases do not fall under the domestic effects exception to the Foreign Trade Antitrust Improvement Act. [1] In the United Kingdom, the High Court gave further guidance on the territorial limitations of European Union (“EU”) law in Iiyama 1 and 2, in particular, the ability of an indirect purchaser to recover damages on the basis of a breach of EU antitrust law where the cartelist is not domiciled in the EU and the initial direct sale of the cartelized
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The UK Court of Appeal provides guidance on the extraterritorial scope of EU law in a cartel case (Iiyama)
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