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Tutorial 9
Lecture
internal market: shared competence
more room for member state to have justifications etc
competition law: exclusive competence
EU (Commission) is enforcer
DG competition- enforcement authority
scope of competition law (same for 101 and 102)
applies to undertakings
main target is private entities (undertakings)
Höfner: every entity engaged in economic activity regardless of legal
status- undertaking
wide interpretation: if there is economic activity, it is an undertaking
purely social objective?- Eurocontrol (sport association: Meca-
Medina)
material scope: entire economy unless expressly exempted in Treaties
(military equipment 346)
agriculture and transport: have more specific
territorial scope: entire territory of EU is covered by competition law
also TCN companies whose policies are implemented in the EU
(Woodpulp)
Readings
Article 101 TFEU
Tutorial 9 1
, conditions
all parties need to be undertakings
there need to be more undertakings
there must be a collusion (agreement between undertakings,
decision by associations of undertakings, or a concerted practice)
collusion must be such that it may affect trade between member
states
may have an influence, direct or indirect, actual or potential, on
the trade between member states (STM)
2 dimensions:
national vs EU
includes situation when companies are all from one
member state
NAAT test: no appreciable effect on trade test
no effect on trade when parties’ aggregate share is
less than 5% and aggregate turnover is less then
40 million
international vs EU
agreement concerning trade outside of EU is covered if
it might affect trade within EU
collusion must have as object or effect the distortion of
competition in the internal market
object or effect
restriction by object: illegal, no need to judge effect (STM)
maxima latvija (sufficient degree of harm to
competition) and superleague
examples of restrictions by object
horizontal price fixing
Tutorial 9 2
Tutorial 9
Lecture
internal market: shared competence
more room for member state to have justifications etc
competition law: exclusive competence
EU (Commission) is enforcer
DG competition- enforcement authority
scope of competition law (same for 101 and 102)
applies to undertakings
main target is private entities (undertakings)
Höfner: every entity engaged in economic activity regardless of legal
status- undertaking
wide interpretation: if there is economic activity, it is an undertaking
purely social objective?- Eurocontrol (sport association: Meca-
Medina)
material scope: entire economy unless expressly exempted in Treaties
(military equipment 346)
agriculture and transport: have more specific
territorial scope: entire territory of EU is covered by competition law
also TCN companies whose policies are implemented in the EU
(Woodpulp)
Readings
Article 101 TFEU
Tutorial 9 1
, conditions
all parties need to be undertakings
there need to be more undertakings
there must be a collusion (agreement between undertakings,
decision by associations of undertakings, or a concerted practice)
collusion must be such that it may affect trade between member
states
may have an influence, direct or indirect, actual or potential, on
the trade between member states (STM)
2 dimensions:
national vs EU
includes situation when companies are all from one
member state
NAAT test: no appreciable effect on trade test
no effect on trade when parties’ aggregate share is
less than 5% and aggregate turnover is less then
40 million
international vs EU
agreement concerning trade outside of EU is covered if
it might affect trade within EU
collusion must have as object or effect the distortion of
competition in the internal market
object or effect
restriction by object: illegal, no need to judge effect (STM)
maxima latvija (sufficient degree of harm to
competition) and superleague
examples of restrictions by object
horizontal price fixing
Tutorial 9 2
