Short Reads

European Commission proposes draft Regulation on online platforms and search engines

European Commission proposes draft Regulation on online platforms and

European Commission proposes draft Regulation on online platforms and search engines

01.05.2018 NL law

On 26 April 2018, the European Commission proposed a draft EU Regulation on key aspects of the contractual relationship between online platforms and their business users. The aim of the proposed Regulation is to create a fair and transparent business environment for smaller businesses and traders that use online search engines and online platforms to reach consumers. The proposed Regulation would be the first EU legislation to specifically address business-to-business relationships of this kind.

The proposal concerns three topics: (i) increasing transparency by online intermediaries for the benefit of business users; (ii) encouraging non-judicial dispute resolution between online intermediaries and their business users and (iii) several mechanisms to monitor the effects of the new rules. The broad definition of "online intermediation services" means that the proposed new rules would apply to online platforms and search engines that offer services to business users established in the EU if those business users offer goods or services to consumers in the EU.

The proposal would require online intermediaries to put in place terms and conditions which are easily accessible to business users and which set out objective grounds for termination of services. For example, online intermediaries would need to provide information on (i) the data generated through their services; (ii) the use of most-favoured-nation clauses and (iii) the general criteria used for ranking search results, including a description where ranking is influenced by giving direct or indirect remuneration. Online intermediaries would also need to establish an internal system for handling complaints by business users. If a complaint cannot be resolved by means of the internal complaint-handling system, the online intermediary is obliged to engage in mediation in good faith with the business user.

The Commission's proposal is just the first step in the EU legislative process. The proposal will now be sent to the European Parliament and Member States where amendments to the proposal can be adopted.

This article was published in the Competition Law Newsletter of May 2018. Other articles in this newsletter:

  1. European Court of Justice provides guidance on assessing discriminatory pricing
  2. Germany did not err in extraditing an Italian citizen to the US for a competition law infringement
  3. European Commission imposes record fine on Altice for premature implementation of PT Portugal acquisition
  4. District Court of Amsterdam rules on requests for pre-procedural hearings
  5. Rotterdam District Court quashes cartel fines imposed by the ACM on cold storage operators

Team

Related news

06.06.2019 NL law
Dutch court: insufficient substantiation? No follow-on cartel damages action

Short Reads - Dutch courts are forcing claimants (including claims vehicles) to be well-prepared before initiating follow-on actions. The Amsterdam District Court in the Dutch trucks cartel follow-on proceedings recently ruled that claimants – specifically CDC, STCC, Chapelton, K&D c.s. and STEF c.s. – had insufficiently substantiated their claims.

Read more

Our website uses functional cookies for the functioning of the website and analytic cookies that enable us to generate aggregated visitor data. We also use other cookies, such as third party tracking cookies - please indicate whether you agree to the use of these other cookies:

Privacy – en cookieverklaring