Antitrust Law Daily Wrap Up, ANTITRUST NEWS: EU dismisses appeals of five companies of fines imposed for their participation in a cartel on the international removals market, (Jul 11, 2013)

By Jody Coultas, J.D.

The Court of Justice of the European Union has announced its dismissal of the appeals filed by five companies that had been fined for their participation in a cartel.

On March 11, 2006, the Commission imposed fines totaling €32.76 million for participating in a cartel on the international removal services market in Belgium. The cartel related to the direct or indirect fixing of prices, market sharing, and the manipulation of the procedures for the submission of tenders.

The General Court upheld the Commission’s decision, but reduced the amount of the fine for Gosselin from €3.28 million to €2.32 million. Also, the General Court held that Gosselin’s parent foundation, Stichting Administratiekantoor Portielje, did not constitute an undertaking for the purposes of competition law. Consequently, the General Court annulled the fine to be paid jointly and severally with Gosselin.

The Court of Justice dismissed the companies’ appeals and the fines imposed on those companies were maintained. However, the Court of Justice set aside the judgment of the General Court in so far as it annulled the fine imposed on Portielje.

The General Court erred in holding that a sanction could be imposed on Portielje only if, viewed in isolation, it could be classified as an undertaking for the purposes of competition law. Because Portielje exercised 100% control of Gosselin, the mere fact that Portielje did not make any formal management decision was not sufficient to rebut the presumption of the actual exercise of decisive influence on Gosselin.

News: Antitrust