Neodyum Miknatis
amateur porn
implant
olabahis
Casino Siteleri
Kayseri escort
canli poker siteleri kolaybet meritslot
escort antalya
istanbul escort
sirinevler escort
antalya eskort bayan
Short Reads

General Court rules that luxury watchmakers can limit supply of parts to approved repairers

General Court rules that luxury watchmakers can limit supply of parts

General Court rules that luxury watchmakers can limit supply of parts to approved repairers

01.11.2017 NL law

On 23 October 2017, the General Court (GC) dismissed an appeal of the Confédération européenne des associations d’horlogers-réparateurs (CEAHR) against the European Commission's decision to reject its complaint.

CEAHR had complained to the Commission that LVMH Moët Hennessy-Louis Vuitton, Rolex and the Swatch Group (the "luxury brand watchmakers") had engaged in anticompetitive conduct and abused their market power by setting up selective distribution systems for repair services and refusing to supply spare parts to watch repairers that were not part of their authorised repair and maintenance network.

The GC reiterated that selective distribution systems are not considered anticompetitive when they are objectively justified, non-discriminatory and proportionate. Contrary to the appellant's claim, when these conditions are met, there is no need to examine whether selective distribution systems have the effect of "eliminating all competition". In determining whether the selective distribution systems are objectively justified, the Court held, contrary to the view expressed by AG Wahl in the Coty case, that the protection of the brand image alone cannot be a valid justification for the restriction of competition. However, the objective of preserving the quality of the products and ensuring their proper use may justify such a restriction, in which case selective distribution systems are allowed. The Court concluded that the selective distribution systems in place met all the necessary conditions.

The GC also rejected a claim by CEARH that the refusal to supply amounted to an abuse of dominance because the selective distribution systems lacked any objective justification. In order to establish an abuse under Article 102 TFEU, the refusal to supply by a dominant undertaking must (i) not be objectively justified, (ii) be related to goods and services that are indispensable for the requesting person's activity, and (iii) be likely to eliminate all competition. Consequently, the lack of an objective justification is not in itself sufficient ground for finding an abuse under Article 102 TFEU. The GC confirmed the Commission's finding that there was a very low probability of all effective competition being eliminated.

Finally, CEARH claimed that the Commission did not properly appreciate the market power of the luxury watchmakers. The GC dismissed that claim and ruled that since the Commission had held that the watchmaker's conduct did not qualify as an abuse, the degree of market power of the watchmakers was irrelevant.

This article was published in the Competition Law Newsletter of November 2017. Other articles in this newsletter:

  1. General Court annuls UPC/Ziggo merger decision
  2. General Court upholds fine for 'gun jumping' EU merger control procedure
  3. European Commission orders the recovery of State aid of around EUR 250 million from Amazon
  4. Nike can restrict sales via online platforms within its selective distribution system
  5. Dutch Trade and Industry Appeals Tribunal rules on cover pricing
  6. KLM and Amsterdam Schiphol airport offer commitments to reduce competition concerns

Team

Related news

01.10.2020 NL law
EU merger control: Dutch clause to catch future killer acquisitions

Short Reads - Competition Commissioner Vestager presented a sneak peak of her plans for the future of EU merger control on the 30th anniversary of the EU Merger Regulation. The proposed plans include a simplification of the notification procedure and a new approach towards the system of referral to ensure that significant transactions, particularly in the digital and pharmaceutical industries, no longer escape Commission scrutiny.

Read more

07.10.2020 LU law
Luxembourg tax measures on non-cooperative jurisdictions: EU blacklist updated

Articles - On 6 October 2020, the European Union list of non-cooperative jurisdictions (the “EU List") was updated. The changes have an impact on bill of law nº 7547, providing that, as from 1 January 2021, interest or royalties, accrued or paid, should no longer be deductible for tax purposes when the beneficiary is a related enterprise established in a country included in the EU List.

Read more

01.10.2020 NL law
Waiting for the EC: third-party platform bans and RPM still on radar

Short Reads - The results of the European Commission’s evaluation of the Vertical Block Exemption Regulation (VBER) call for more clarity and convergence in the interpretation of certain (online) vertical restrictions. However, the Dutch competition authority (the ACM) and the Dutch courts cannot wait for the European Commission’s revised VBER rules to deal with such sales restrictions.

Read more

01.10.2020 NL law
Directors' liability due to competition law infringements by the company

Short Reads - The District Court Noord-Nederland recently allowed the trustees in bankruptcy of Northsea shrimp trading company Heiploeg to recover part of a EUR 27 million cartel fine from a former director. Internationally, the question whether companies can recover competition law fines through civil claims against individuals involved in the competition law infringement, is controversial. The court held, however, that the director’s personal involvement in the infringement amounted to ‘serious mismanagement’, triggering personal liability to pay damages.

Read more

01.10.2020 NL law
If you can’t stand the heat: kitchen retailers fined for misleading consumers

Short Reads - There is a new enforcement trend in the Netherlands; consumer protection is shifting from private enforcement before the civil courts, to public enforcement through the Dutch Authority for Consumers and Markets (ACM), the combined antitrust and consumer protection authority. This is not mere cheap talk from the authority; multimillion fines have already been imposed on Dutch telecom operators and a Dutch energy company, whereas fines approximating one million euro have been imposed on three kitchen retailers, all for allegedly misleading consumers.

Read more