Cartels

On July 4, 2019, the Paris Court of Appeals reduced the fines imposed by the FCA in the “flour” case from €242.4 million to €96.1 million.[1] The Court reduced the fines imposed on the millers while upholding the FCA’s findings on the merits. The total fine reduction was justified by (i) the shorter duration of the infringement for two millers; (ii) the ability to pay for five millers; and (iii) the existence of a price regulation until 1978, which limited the cartel’s impact on the economy.

On July 4, 2019, following two losses at the EU Courts, the Commission re-adopted its decision to fine five Italian manufacturers of reinforcing steel bars for a price-fixing cartel. The Commission reduced the fines by an unprecedented 50% due to the length of proceedings spanning almost two decades.

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).

On June 25, 2019, the Italian Council of State (“Council of State”) partially upheld the appeal lodged by Società Metalmeccanica Fracasso in Liquidazione S.p.A. (“Metalmeccanica Fracasso”) against the judgment issued by the Regional Administrative Tribunal of Latium (“TAR Lazio”) on February 1, 2017 (“Judgment”),[1] which had confirmed the decision of the Italian Competition Authority (“ICA”) to re-determine the fine imposed on Metalmeccanica Fracasso for an alleged restrictive agreement.[2]

On June 20, 2019, the Council of State partially annulled a ruling delivered by the TAR Lazio in 2013,[1] which had reduced the fine imposed by the ICA on San Marco S.p.A. – Industria Costruzioni Meccaniche in liquidazione (“San Marco”) for an alleged cartel in the road safety barriers sector.[2] The Council of State held that the TAR Lazio, on the basis of equitable principles and by taking into account the fact that the company was bankrupt, had unlawfully reduced the fine imposed on San Marco.

On June 4, 2019, the TAR Lazio upheld a decision issued by the ICA in 2018, which had fined the Italian Football Federation (“FIGC”) for an anticompetitive agreement, consisting of the FIGC’s decision to limit access to the market for professional services provided by sports directors, sport management assistants, talent scouts and match analysts.[1]

On May 22, 2019, the French Competition Authority (“FCA”) fined the Akka Group €0.9 million for obstructing its investigations into a suspected cartel in France.[1] This decision is only the second such sanction by the FCA,[2] and the first for breaking seals.

On May 20, 2019, the Commission carried out dawn raids at the premises of two grocery retailers in France, Casino and Intermarché-Les Mousquetaires.[1] On the same day, the Belgian Competition Authority raided Carrefour and Provera, a joint purchasing venture of grocery retailers Cora, Match, and Louis Delhaize. Although the two series of dawn raids occurred simultaneously, the Commission’s press release leaves open whether the raids were coordinated.