On 17 June 2021, the CMA published a consultation document on its provisional recommendation to replace the retained EU Vertical Agreements Block Exemption Regulation (VABER) with a UK-specific Vertical Agreements Block Exemption Order (VABEO) (the CMA Consultation). Currently, agreements benefit from automatic exemption from the UK Chapter 1 Prohibition[1] (the equivalent of Article 101 TFEU) if they meet the criteria set out in the VABER.
The French Competition Authority Updates Its Notice on Fines
On June 11, 2021, the French Competition Authority (“FCA”) published a draft to update its Notice on fines.[1] The draft is subject to a public consultation which was held between June 11 and 25, 2021. According to the FCA, the update was prompted by the entry into force of ordinance No.2021-649 of May 26, 2021, which implements Directive (EU) 2019/1 of the European Parliament and of the Council of December 11, 2018 (“ECN+ Directive”), whose aim is to strengthen and harmonize competition enforcement by national authorities.
FCO Launches Public Consultations on “Self-Cleaning Guidelines”
On June 8, 2021, the FCO published its draft “Guidelines for the premature deletion of an entry in the Competition Register due to self-cleaning”[1] as well as its draft “Practical guide on filing an application for premature deletion”.[2] In addition, it opened public consultations on the drafts. Interested parties were invited to submit their comments by July 20, 2021.
Update on the Commission’s Anti-cartels Enforcement
On May 20, 2021, the Commission issued a decision fining several banks for participation in an alleged cartel in European government bonds (“EGB”) trading.[1] The Commission decision found that seven investment banks (Bank of America, Natixis, Nomura, UBS, UniCredit, RBS, and WestLB (now called Portigon)) participated in an alleged collusive scheme aimed at distorting competition in purchasing and trading EGBs.[2] EGBs are financial instruments issued on the primary market for the purposes of raising debt capital by the governments of the Eurozone Member States. Once bought by “primary dealers” in primary market auctions, EGBs are traded on the secondary market among investors and financial institutions.
The TAR Lazio Almost Entirely Upholds a Decision of the ICA That Fined 23 Companies and One Trade Association for Two Cartels in the Corrugated Cardboard Sector
The Commission Proposes a Draft Regulation to Tackle Potential Distortions Caused by Foreign Subsidies
Background
On May 5, 2021, the Commission proposed a draft regulation to tackle potential distortions in the internal market caused by foreign subsidies (“Draft Regulation”).[1]
Forrest Fresh Foods Limited v Coca-Cola European Partners Great Britain Limited
On 23 April 2021, the Competition Appeal Tribunal (CAT) published notice of an abuse of dominance claim brought
Joint Statement by the CMA, ACCC and Bundeskartellamt on the Need for Rigorous Merger Enforcement
In recent years, the CMA has been strengthening its approach to merger control as it prepares for its new status as a global enforcer with expanded jurisdiction following the UK’s exit from the EU. Since 1 January 2021, the CMA has been able to investigate the UK aspects of mergers that also qualify for review by the EU Commission (EC). Many transactions, including major global deals, are therefore now subject to parallel review by the EC and CMA.
Roland (U.K.) Limited and another v Competition and Markets Authority
On 19 April 2021, the CAT dismissed Roland’s appeal against a £4 million fine imposed by the CMA (see UK Competition Newsletter, August – September 2020). Roland appealed, alleging that the CMA’s fine overstated the seriousness of the infringement and that the CMA’s leniency discount had been too low.