On August 28, 2020, the FCA prohibited for the first time a proposed transaction following an in-depth Phase 2 review.[1] The FCA concluded that Soditroy and the E. Leclerc’s proposed acquisition of joint control over a Géant Casino hypermarket around the city of Troyes raised serious competition concerns.
The French Competition Authority Publishes New Guidelines on Merger Control
On July 23, 2020, the FCA published its new guidelines on merger control[1] (the “Guidelines”), which came into effect on the same day and therefore replaced the previous guidelines issued in 2013.
The French Competition Authority Fines 12 Cold Meat Manufacturers €93 Million for Operating a Cartels
On July 16, 2020, the French Competition Authority (“FCA”) imposed a €93 million fine on 12 manufacturers for their participation in a cartel in the ham and cold meat sector.[1] The FCA started its investigation in 2012, following a complaint from a slaughterhouse and a leniency application by Campofrio, a cold meat manufacturer. The FCA subsequently conducted dawn raids at the 12 cold meat manufacturers’ premises in 2013.
Paris Court of Appeals Fully Annuls a May 2014 Search Warrant and Subsequent Dawn Raids Carried Out at Whirlpool France’s Premises
On July 8, 2020, the Paris Court of Appeals (“Court of Appeals”) fully annulled a May 2014 search warrant and subsequent dawn raids carried out at Whirlpool France’s premises (“Whirlpool”).[1] The Court of Appeals also ordered the FCA to return all of Whirlpool’s seized documents.
The Paris Court of Appeals Orders Orange To Pay Over €180 Million in Follow-on Antitrust Damage Claim
On June 17, 2020, the Paris Court of Appeals (“the Court”) ordered Orange and its subsidiary Orange Caraïbe to pay (jointly and severally) €181.5 million in antitrust damages and €68 million in interest to rival Digicel (formerly Bouygues Telecom Caraïbe) as compensation for the Orange group’s anti-competitive behavior across several markets in the French West Indies.[1] The Court’s decision overturns a 2017 first instance ruling by the Paris Commercial Court.[2]
The French Competition Authority Publishes a Study on the Impact of E-commerce on Competition Policy
On June 5, 2020, the French Competition Authority (“FCA”) published a study on the growth of e-commerce and its impact on competition policy. This publication provides an overview of the lasting changes triggered by the development of online sales, the impact of such changes on the analytical framework used by the FCA and the types of anticompetitive conducts that may arise as a result. The study is part of a broader reflection led by the FCA on the challenges raised by antitrust enforcement in the digital sector.[1]
The French Competition Authority (“FCA”) Accepts Fix-it-First Remedy and Unprecedented Behavioral Commitments in a Major Overseas Retail Deal
On May 26, 2020, the FCA conditionally approved Bernard Hayot Group’s €219 million acquisition of the Vindémia Group—one of the largest deals in French overseas territories ever reviewed by the FCA.[1] Further to an on-site investigation, the FCA cleared the transaction in Phase I, subject to a fix-it-first remedy and behavioral commitments.
The Paris Court of Appeals Upholds the French Competition Authority’s (“FCA”) Fining Decision Against Akka Group for Obstructing Dawn Raids
On May 26, 2020, the Paris Court of Appeals confirmed the €0.9 million fine imposed on Akka Group for obstructing dawn raids conducted on its premises, including by breaking seals. This was the second decision issued by the FCA for dawn raid obstruction and the first one for breaking seals.
The French Cour de Cassation Upholds the Paris Court of Appeals’ Decision in the Groupement Des Installateurs Français Case
On May 18, 2020, the French Cour de Cassation upheld the Paris Court of Appeals’ judgment which had confirmed the French Competition Authority’s (“FCA”) fining decision against Groupement des Installateurs Français (“GIF”). The Cour de Cassation held that the FCA’s Collège could re-open the investigation to allow the FCA’s investigation services to add evidence on which they relied for establishing the statement of objections (“SO”) but that they “inadvertently omitted” to include in the case file. The defendant’s response to the flawed SO can remain in the case file despite the fact that the defendant did not have access to that evidence when preparing its response, as long as the defendant is given the chance to reply to a supplementary SO after the investigation is re-opened.
COVID-19 Update: Time-limits for Merger Control and Antitrust Proceedings Are Gradually Resuming
By Order No. 2020-560 of May 13, 2020, the Government decided not to further postpone the time limits that had been suspended or interrupted since March 12, 2020, despite the extension of the state of health emergency. Consistently, in a press release of May 18, 2020, the French Competition Authority (“FCA”) announced that it would progressively re-instate the statutory time limits that had been interrupted or suspended in light of the state of health emergency. All of these time limits will resume on June 24, 2020 at the latest.[1]