EU Competition Law: General Principles

EU Competition Law: General Principles (EU Competition Law Library) provides an authoritative overview of competition law in the European Union. It includes up to date and detailed analysis of core Treaty articles and case law on the fundamental principles affecting commercial agreements, abuse of dominant position and state involvement and its effect under competition law. The authors are leading practitioners in the field of UK and EU competition law.

David Vaughan QC is a leading expert on European Union law, particularly within the competition and administrative practice areas. He is a senior barrister at Brick Court Chambers in London and has appeared in more than 90 cases at the European Court of Justice. The Chambers and Partners Guide to the Legal Profession 2002 - 2003 describes Mr Vaughan as "one of the senior statesmen of the competition world". He is also a Deputy High Court Judge, Judge of the Court of Appeals of Jersey and Guernsey, and Honorary Professor of European Law at Durham University. Barrister specialising in EU law, competition litigation (UK and EU), conflicts, judicial review, human rights and all types of commercial litigation and ICC and other arbitration.
Barrister specialising in commercial law; EC; public law; employment law. Commercial litigation generally, including joint venture shareholder disputes, shipping, international trade, competition law, insurance and banking. Experience of advocacy in particular in the Commercial Court and in ICC and LMAA arbitrations.

TABLE OF CASES

ix

TABLE OF LEGISLATION

xxi

1. INTRODUCTION

A. General

1

(25)

1. The rules of competition

1

(1)

2. The rules of competition in the context of the EC Treaty

2

(1)

3. Objectives of the rules of competition: earlier statements (1)

3

(2)

4. Objectives of the rules of competition: earlier statements (2)

5

(12)

5. Objectives of competition policy: more recent statements

17

(9)

B. Implementation of the rules of competition

26

(11)

1. Role of the Council

29

(3)

2. General Treaty powers of the Commission

32

(1)

3. Legislative powers of the Commission

33

(1)

4. Quasi-legislative powers of the Commission

34

(2)

5. Administrative and executive powers and duties of the Commission

36

(1)

2. SCOPE OF THE RULES OF COMPETITION

A. Territorial application

37

(15)

1. The territory of the common market

37

(1)

2. Treaties with third countries

38

(1)

3. Application to trade with third countries

39

(2)

4. Extra-territorial jurisdiction

41

(6)

5. Extra-territorial application

47

(5)

B. Personal application

52

(18)

1. Meaning of 'undertaking'

52

(9)

2. Public undertakings 6o

3. Member States

61

(9)

C. Temporal application

70

(4)

1. Time limits generally

70

(2)

2. Limitation periods

72

(2)

D. Sectoral application

74

(17)

1. Coal and steel

75

(1)

2. Nuclear energy

76

(1)

3. Agriculture

77

(5)

4. Transport

82

(1)

5. Telecommunications and broadcasting

83

(1)

6. Security and defence products

84

(2)

7. Banking and insurance

86

(2)

8. Utilities

88

(1)

9. Electronic communications and e-commerce

89

(1)

10. Other sectors

90

(1)

3. AGREEMENTS, DECISIONS OF ASSOCIATIONS OF UNDERTAKINGS AND CONCERTED PRACTICES

A. Introduction

91

(7)

1. The prohibition of anti-competitive agreements and practices

91

(5)

2. Exemption

96

(2)

B. Agreements, decisions and concerted practices

98

(35)

1. Agreements

98

(7)

2. Decisions by associations of undertakings

105

(3)

3. Concerted practices

108

(11)

4. Exchange of information

119

(3)

5. Application of Article 81 to 'unilateral' conduct

122

(7)

6. Concerted behaviour between companies in the same group and agreements between principals and agents

129

(4)

C. The object or effect of preventing, restricting or distorting competition

133

(22)

1. Introduction

133

(2)

2. Object or effect

135

(3)

3. Prevention, restriction or distortion of competition

138

(3)

4. Horizontal agreements

141

(2)

5. Vertical agreements

143

(5)

6. Restrictions necessary for the promotion of competition

148

(7)

D. Effect on trade between Member States

155

(23)

1. Introduction

155

(5)

2. Agreements which 'may' affect inter-State trade

160

(3)

3. Agreements which limit, or affect the terms of, cross-border transactions

163

(3)

4. Partitioning of national markets

166

(3)

5. Network effect

169

(5)

6. Altering the pattern of inter-State trade

174

(4)

E. The requirement of 'appreciable' effect on competition on trade between Member States

178

(19)

1. An appreciable effect on competition

178

(10)

2. An appreciable effect on trade between Member States

188

(9)

F. Exemption

197

(22)

1. Introduction

197

(2)

2. Exemption under Article 81(3)

199

(2)

3. The conditions for exemption

201

(18)

4. ABUSE OF DOMINANT POSITION

A. The prohibition

219

(10)

1. Prohibition of abuse of dominant position

219

(1)

2. The prohibition

220

(1)

3. Structure of Article 82

221

(2)

4. Interpretation of Article 82

223

(2)

5. Interrelationship with Article 81

225

(4)

B. Dominant position

229

(41)

1. Meaning of 'dominant position'

229

(1)

2. Determination of dominant position

230

(4)

3. Relevant product market

234

(11)

4. Relevant geographic market

245

(2)

5. Substantial part of the common market

247

(1)

6. The temporal market

248

(1)

7. Assessment of market power

249

(16)

8. Undertakings

265

(5)

C. Abuse

270

(41)

1. Meaning of 'abuse'

270

(3)

2. Fault

273

(1)

3. Causation

274

(1)

4. Objective justification

275

(3)

5. The list of abuses in Article 82 EC

278

(1)

6. Pricing

279

(10)

7. Conditions with tying effects

289

(2)

8. Requiring supplementary obligations

291

(1)

9. Refusal to deal

292

(3)

10. Refusals to supply competitors and essential facilities

295

(3)

11. Abuse and intellectual property rights

298

(6)

12. Limiting production, markets or technical development

304

(2)

13. Restricting parallel trade between Member States

306

(1)

14. Other unfair trading conditions

307

(1)

15. Other abuses

308

(1)

16. Duration of abuse

309

(1)

17. Abuse and mergers

310

(1)

D. Affecting trade between Member States

311

(3)

1. Inter-State trade

311

(2)

2. Trade and other activities

313

(1)

5. STATE INVOLVEMENT AND THE APPLICATION OF THE RULES ON COMPETITION

A. Article 86

314

(11)

1. The provisions of Article 86

314

(2)

2. The purpose of Article 86 and the relevance of Articles 3(g) and 10 of the Treaty

316

(4)

3. Balancing competing interests

320

(2)

4. Requirement to apply Article 86(1) in conjunction with another Treaty provision

322

(2)

5. Article 86 arid direct effect

324

(1)

B. Article 86(1)

325

(36)

1. Article 86(1) only applies to certain types of undertaking

325

(17)

2. The prohibited conduct under Article 86(1)

342

(8)

3. Particular examples of the grant of special or exclusive rights infringing Article 86(1) in conjunction with Article 82

350

(11)

C. Article 86(2)

361

(14)

1. Purpose

361

(1)

2. Undertakings having the character of a revenue producing monopoly

362

(1)

3. Undertakings entrusted with the operation of services of general economic interest

363

(5)

4. Obstruction of the performance of the tasks entrusted

368

(4)

5. No adverse effect on trade contrary to the interests of the Community

372

(1)

6. Direct effect

373

(2)

D. Article 86(3)

375

(5)

1. Powers of the Commission under Article 86(3)

375

(5)

E. Article 8i in conjunction with Article 10

380

1. Requiring or favouring the adoption of anti-competitive agreements or reinforcing their effects

383

(4)

2. Delegating to private traders responsibility for taking decisions affecting the economic sphere

387

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EU Competition Law: General Principles

Summary

Author Biography

Table of Contents

Supplemental Materials