On 7 June 2021, the CAT ruled on the preliminary issue of whether English or Italian law governs claims made by claimant companies incorporated in Italy (the Italian Claimants). The broader claim relates to an Article 101 TFEU infringement decision concerning default multilateral interchange fees (MIFs) set by Mastercard and Visa.
Industries
Facebook: The New Kid on the EC Block
On June 4, 2021, the Commission[1] and the UK Competition and Markets Authority (“CMA”)[2] announced parallel investigations concerning Facebook Marketplace. The Commission will investigate at least two potential theories of harm: (i) the potential misuse of data gathered by Facebook, in particular from advertisers, in order to compete with them in other markets where Facebook is active (e.g., in classified ads with Facebook Marketplace); and (ii) the potential tying of Marketplace to Facebook’s social network. Although formally independent, the CMA’s investigation will focus on similar concerns[3] and both authorities announced they would collaborate closely.[4]
Dr. Rachael Kent v Apple Inc. and Apple Distribution International Ltd
On 4 June 2021 the CAT published an application to commence collective proceedings under section 47B of the Competition Act 1998 against Apple Inc. and Apple Distribution International Ltd (Apple). The application alleges that Apple has abused a dominant position in breach of Article 102 of the TFEU and the Chapter II prohibition of the Competition Act.
The Battery Recycling Buyer Cartels: Recylex’s “Recycled Facts” Not Sufficient for Partial Immunity
The Optical Disk Drive Cartels (AG Pitruzzella): Violation of Defense Rights to No Avail for Fine Reduction
On June 3, 2021, Advocate General Pitruzzella delivered an Opinion in the Optical Disk Drives case, finding that the Commission breached the appellants’ rights of defense, but that the fines imposed should nevertheless stand.[1]
Facebook Offers Commitments To Address Competition Concerns in the Online Advertising Sector
On June 3, 2021, the French Competition Authority (the “FCA”) launched a public consultation to assess the adequacy of the commitments (the “Commitments”) offered by Facebook Inc., Facebook Ireland Ltd, and Facebook France (together, “Facebook”) as part of the FCA’s investigation into allegedly abusive online advertising practices by Facebook.
The Commission Re-adopts and Amends the YIRD Cartels Decision Against ICAP, Halving the Total Fine
On July 10, 2019, the Court of Justice upheld the General Court’s partial annulment of the Commission’s 2015 decision to fine ICAP c. €15 million for facilitating a cartel in the Yen Interest Rate Derivatives (“YIRD”) market between 2007 and 2010.[1]
Sabre Corporation v Competition and Markets Authority
On 21 May 2021, the CAT dismissed Sabre’s challenge of the CMA’s decision to block its proposed acquisition of Farelogix.…
Courts Endorse CMA’s Broad Discretion in Merger Cases
The Competition Appeal Tribunal (CAT) and Court of Appeal have upheld decisions of the Competition and Markets Authority (CMA) in two significant merger cases. These judgments endorse both the CMA’s assertive approach to establishing jurisdiction over transactions with limited UK nexus and its policy of imposing global hold separate orders over both parties in completed mergers, and underline the broad discretion that the courts will allow the CMA in deciding how to carry out merger investigations.