Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Almunia touts Directive on Antitrust Damages Actions, (Oct 23, 2014)

By Greg Hammond, J.D.

In his last speaking engagement as Commissioner for Competition, EC Vice President Joaquín Almunia discussed what he considers the “most important legal initiative” launched during his term—the Directive on Antitrust Damages Actions. Almunia’s remarks were presented today in London, at MLex’s seminar, Damages Litigation: A new frontier for Europe.

In his prepared remarks, entitled “Antitrust Litigation—The way ahead,” Vice President Almunia described the likely implications of the Directive on European citizens and businesses. First, the Directive sets forth new evidentiary rules that make it easier for victims to obtain evidence from companies that have it, lessening the currently “heavy” burden that faces victims today. Second, the Directive will effectively harmonize national laws throughout the EU, allowing victims to claim damages no matter where they live in Europe. Finally, the Directive will increase deterrence.

“I’m convinced that the Damages Directive will persuade companies to consider their options a lot more carefully before they set up a cartel or adopt other anti-competitive practices,” Almunia said. “The underlying principle is that the fines imposed by public enforcers—both the Commission and national agencies—and the damages awarded in court are complementary; there is no trade-off.”

Almunia also noted that final decisions of competition authorities may be used in courtrooms, and are proof that an infringement actually took place. Further, victims are able to wait for decisions of competition agencies before they go to court. According to Almunia, this “means that victims don’t have to worry that time limits will deprive them of the compensation they are entitled to as they wait for competition authorities to conclude their investigations.”

The Directive is expected to be formally adopted in the coming days. Member States will then have two years to implement them in their national legal systems.

News: Antitrust