Abuse

On July 12, 2021,[1] the French Competition Authority (the “FCA”) imposed a €500 million fine on Google for having allegedly not complied with four of the seven injunctions imposed on the company in its April 2020 interim measures’ decision.[2] This is the highest fine ever imposed by the FCA for non-compliance with injunctions. The investigation on the merits is still ongoing.

In a July 7, 2021 ruling, the Cour de cassation dismissed the appeal of the French Competition Authority (“FCA”) in the Sanicorse case, confirming the Paris Court of Appeals’ holding on excessive prices and, more generally, unfair terms (also called “exploitative abuses”).[1] This is a major setback for the FCA, which intended to use the legal reasoning developed in the Sanicorse decision in other (pricing or non-pricing) unfair terms cases.

On June 24, 2021,[1] the French Competition Authority (“FCA”) issued a decision closing ten years of investigation for alleged retail price maintenance (“RPM”) practices by Kärcher and dismissed the case. This is one of the rare instances where the Collège has dismissed a case for lack of evidence after objections were notified to the party.

On June 9, 2021, the French Cour de cassation (“Cour de cassation”) put an end to a legal saga involving the French legacy train operator SNCF’s anticompetitive practices in the railway freight sector.[1] The Cour de cassation confirmed the Paris Court of Appeals’ December 20, 2018 ruling[2] that had found that the SNCF had breached Articles L. 420-2 of the French Commercial Code and 102 TFEU by applying a predatory pricing strategy to prevent rivals from entering into key contracts in the market for transport of full-train-load.

On June 7, 2021,[1] the Milan Court of Appeal (the “Court of Appeal”) declared inadmissible an appeal brought by Irideos S.p.A. (“Irideos”; formerly, Enter S.r.l., “Enter”) against a Court of Milan judgment that had entirely dismissed a follow-on damages action against Telecom Italia S.p.A. (“TIM”) for alleged abuse of dominance in the provision of wholesale access services[2] found by the Italian Competition Authority (the “ICA”) in 2013, on the ground that the appeal did not have a reasonable chance of being upheld, pursuant to Articles 348-bis and ter of the Italian Code of Civil Procedure (the “CCP”).

On June 7, 2021, the French Competition Authority (“FCA”) imposed a fine of €220 million on Google Inc. (now Google LLC), Alphabet Inc., and all Alphabet Inc.’s subsidiaries (together, “Google”), for allegedly abusing its dominant position in the market for advertising servers for website and mobile application publishers.[1]

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]