On December 11, 2018, the German Federal Court of Justice (“FCJ”) held that, at least in relation to quota fixing and customer allocation cartels, plaintiffs could no longer rely on prima facie evidence to establish that a cartel infringement led to causal damage.[1] The FCJ accepted, however, a factual presumption (tatsächliche Vermutung)— softer compared to prima facie evidence—that cartels would lead to an overcharge, and held that such a presumption was of “high indicative significance”. Since then, lower courts have rendered a number of judgments and struggled with applying the new evidentiary standard in practice.
Enforcement by Numbers
As the charts below show, enforcement by concurrent competition agencies has increased substantially since the ERRA came into force.[1]
Five Years of “Enhanced Concurrency” in UK Antitrust
In November 2013, David Currie – then Chairman of the CMA – identified the low volume of competition cases in regulated sectors: “These sectors account in total for some 25% of the economy. They are also typically characterised by monopolistic or oligopolistic market structures. This might suggest the need for more, rather than less, competition enforcement than in other parts of the economy.”[1]
The Hearing Officer for Competition Proceedings Publishes the Activity Report for 2017-2018
On March 22, 2019, the European Commission’s Hearing Officer published his Activity Report for 2017-2018.[1] The Report provides key statistics on the Hearing Officer’s activity as well as a useful summary of case law on various procedural issues.
Commission Launches New Online eLeniency Tool
On March 19, 2019, the Commission introduced eLeniency, a new online tool for submitting documents and corporate statements in the
The Commission Publishes a Paper on EU Industrial Policy After Siemens/Alstom
In a March 18, 2019 paper entitled “EU industrial policy after Siemens/Alstom: Finding a New Balance Between Openness and Protection,” the Commission’s think tank, the European Political Strategy Centre, responds to the “significant backlash against EU competition policy” stemming from its prohibition of the Siemens/Alstom merger in February (reported in the EU Competition Law Newsletter of February 2019).[1]
10th Anniversary of the French Competition Authority – Results and Prospects
On March 5, 2019, the French Competition Authority celebrated its 10 years of existence. The President of the Competition Authority listed her priorities for the coming years, which include the retail sector and purchasing alliances, digital economy, “predatory” acquisitions and reflection on ex post control, as well as the labour market and labour collective agreements.
European Court of Human Rights Rules on the Admissibility of Hearsay Evidence in Cartels Cases
On February 14, 2019, the European Court of Human Rights (“ECtHR”) found in SA-Capital Oy v. Finland, that the Finnish Supreme Administrative Court had not violated SA-Capital’s right to a fair trial under Article 6 of the European Convention on Human Rights by partially relying on hearsay evidence in finding the existence and the scope of a cartel.[1] In particular, given the evidentiary complexity of cartel infringements, the ECtHR concluded that national competition authorities may use hearsay to the extent their findings do not solely depend on it.[2]
Commission Accepts TenneT’s Commitment to Increase the Maximum Capacity of the Electricity Interconnector Between Denmark and Germany
On February 14, 2019, the Commission published a decision, adopted on December 7, 2018,[1] accepting commitments offered by TenneT, an electricity transmission system operator (“TSO”), to remove restrictions on, and in the long term also to increase, the maximum capacity of the electricity interconnector between Germany and West Denmark (“the DE-DK1 interconnector”).
2018 Review
CMA Activity
As in 2017, the CMA leadership devoted much of 2018 to preparing for Brexit – publishing draft regulations, revising guidance, and increasing the CMA’s workforce.