On November 6, 2019, the FCO and the French Competition Authority (“ADLC”) presented a joint study on “Algorithms and Competition.”[1] The study focuses on algorithms used for dynamic price setting and their potential effects on competition, particularly in the form of collusion, and contains important insights for companies utilizing third- party algorithms.
Working Group On Competition Law Discussed Changes To The European Vertical Block Exemption Regulation
On October 10, 2019, the Working Group on Competition Law held its annual meeting in Bonn. The FCO and more than 120 competition law experts discussed revisions to the European Vertical Block Exemption Regulation (“VBER”)[1] in light of the digital transformation of the economy.[2] In preparation for this meeting, the FCO had published a comprehensive background paper,[3] setting out the need for adaption and possible adjustments to the VBER to address online distribution and other challenges posed by the digital transformation of the economy.
CMA’s Increasing Enforcement Of Document Requests In Merger Review
There is a global trend of increasingly burdensome demands by competition authorities conducting merger review for the submission of merging parties’ internal documents, and the CMA is no exception. In recent months the CMA has also taken greater steps to enforce such requests, in particular by fining companies for failing to comply with formal requests for documents under Section 109 of the Enterprise Act 2002 (“Section 109 Notices”).
French Competition Authority Launches Consultation on Revised Merger Guidelines
On September 16, 2019, the French competition authority (“FCA”) launched a two-month public consultation on revised merger guidelines (“the draft guidelines”), which constitutes the final step of the modernization and simplification of merger control the FCA had initiated in the fall of 2017. This overhaul of the FCA’s merger control guidelines aims to extend the scope of the simplified procedure, update the 2013 guidelines with recent case law and the FCA’s exchanges with the European Commission and other national competition authorities, while reorganizing the guidelines and enriching them with examples. The public consultation was open until November 16, 2019. The new guidelines are scheduled to be adopted before the end of the year.
Vigorous Antitrust Enforcement Likely To Continue During Margrethe Vestager’s Second Term as Competition Commissioner
Margrethe Vestager has been re-appointed as Commissioner for Competition for a second term. If her appointment is approved by the European Parliament, as is expected, she would be in line for a combined 10-year term, which would make her the longest-serving Competition Commissioner. In addition to the competition portfolio, Ms. Vestager will also take on responsibility for the “a Europe fit for the digital age” agenda, and has been designated as one of the executive vice-presidents of the Commission.
Roadmap For The Evaluation Of The Horizontal Block Exemption Regulations Open For Comments
Commission Publishes 2018 Annual Activity Report
On July 15, 2019, the Commission published its annual report on competition policy, setting out the Commission’s main policy and legislative initiatives, and key decisions adopted in 2018.
The FCA Publishes Its 2018 Annual Report
The FCA published its 2018 annual report, which, this year, also provides an overview of the FCA’s policy and results over the last decade (see our article published in the April newsletter[1]).
European Champions Debate Continues
On July 4, 2019, France and Germany, joined by Poland, issued a joint call to modernize European competition rules (“Joint Statement”).[1] This follows the publication in February 2019 of a Franco-German Manifesto for a European industrial policy to foster the creation of European champions.[2] The Joint Statement scales back some of the Manifesto’s far-reaching ideas.
New Guidelines on “Passing-on” of Overcharge and Disclosure of Confidential Information in Cartels Damages Claims
On July 1, 2019, following a one-year public consultation with national courts and other stakeholders, the Commission published new guidelines to assist national judges in estimating the “passing-on” of overcharge in cartel damages claims.[1] The guidelines are the latest step in efforts to develop a forum for antitrust damages litigation throughout Europe, given that these actions are, at present, typically confined to a small number of national jurisdictions (the U.K., the Netherlands, and Germany).