CONTENTS

Table of European Cases
Table of lnternational Cases
Table of Legislation
Table of European and International Treaties, Conventions, and Charters
Bibliography
List of Abbreviations

1.INTRODUCTION TO COMPETITION LAW
1.Central Issues
2.Introduction
3.The Economics of Competition Law
A.Basic Concepts of Welfare Economics
B.Perfect Competition and Efficiency
C.Monopoly
D.Oligopoly
E.Perfect Competition, Monopoly, Market Power, and Competition in the Real World
F.The Concept of Welfare: Total (Social) Welfare, Consumer Welfare, and Efficiency Trade-offs
G.Dynamic Competition
4.Schools of Competition Analysis and Theories and Concepts Relevant to Competition Law
A.The Structure - Conduct - Performance Paradigm and the Harvard School
B.The Chicago School, Post-Chicago, and Neo-Chicago
C.Game Theory
D.Contestable Markets Theory
E.Raising Rivals' Costs
F.Transaction Cost Economics
G.Workable Competition
H.The Austrian School
1.Effective Competition
5.Ordoliberalism
6.Possible Goals of Competition Law
A.General
B.Economic Efficiency and Welfare
C.Economic Freedom and the Process of Competition
D.Protecting Competitors
E. Fairness
F.Public Policy and Socio-Political Factors
G. The EU Dimension of the Single Market
7. US Antitrust Law
8. EU Competition Law
A. The Objectives of the EU and the Role of the Competition Rules
B. The Objectives of EU Competition Law
9. Public Policy Considerations and EU Competition Law
10. Industrial Policy
11. The Application of Competition Law
A. Form, Effects, and Theories of Harm
B. Over- and Under-Enforcement: Type 1 and Type 2 Errors
C. The Use of Economic Analysis
12. The New Economy
13. EU Competition Law and Regulation
14. Competition Law and the International Context
15. Market Power, Market Definition, and Barriers to Entry
A. Market Power
B. Market Definition and EU Competition Law
C. Barriers to Entry and Expansion
16. Conclusions
17. Further Reading

2. THE COMPETITION LAW AND INSTITUTIONS OF THE EUROPEAN UNION
1. Central Issues
2. lntroduction
3. Introduction to the European Union
A. The European Union and the European Community
B. The EU Treaties
C. The Non-judicial EU Institutions
D. EU Legislative and Other Acts
E. The EU Courts
F.General PrincipIes of EU Law and Fundamental (Human) Rights
4. The Competition Provisions
A. General
B. The Substantive Competition Provisions of the TFEU
C. The Procedural Provisions
D. The European Merger Regulation (EIJMR)
E. Other Relevant Treaty Provisions
5.Communications and Notices
6.The Competition Rules and the European Economic Area
7.Modernisation
8.Conclusions
9.Further Reading

3. ARTICLE 101 TFEU: THE ELEMENTS
1.Central Issues
2.Introduction
3.The Text of Article
4.The Scheme of Article 101
A.The Three Paragraphs
B.The Consequences of lnfringement
C.Burden and Standard of Proof
5.The Interpretation and Application of Article 101(1)
A.Undertaking' and 'Associations of Undertakings'
B.The Meaning of Agreement', 'Decision', and 'Concerted Practice'
C.Object or Effect of the Prevention, Restriction, of Distortion of Competition
D.An Appreciable Effect on Competition and Trade
E.An Appreciable Effect on Trade Between Member States
F.Agreements Required by National Legislation or Encouraged by National Governments
G.Commission Nouces
H.Extraterritoriality
6.Article 101(2)
7.Exclusions
8.Conclusions
9.Further Reading

4. THE RELATIONSHIP BETWEEN ARTICLE 101 (i) AND ARTICLE 101(3) TFEU
1.Central Issues
2.Introduction and Background
A.Article 101 (1) and Article 101(3)
B.Possible Ways of Reconciling Article 101(1) and Article 101(3)
C.The Interpretation of Object or Effect is the Prevention, Restriction, or Distortion of Competition'—The Early Approach
D.Section 1 of the Sherman Act
E.Modernisation
3.Article 101(1), Agreements Which Have as Their Object or Effect the Prevention, Restriction, or Distortion of Competition
A.Object of Effect
B. Agreements that Restrict Competition by Object: Restraints Which Reveal a Sufficiently Deleterious Impact on Competition
C. Agreements that Do Not Restrict Competition by Object:Analysing Their Effects
D. Conciusions on the Approach Required Under Article 101 (1)
4.Article 101(3)
A.Application of Article 101 (3)
B.Burden and Standard of Proof
C.Any Agreement May in Principle Benefit from Article 101(3)
D.The Article 101 (3) Criteria
E.Block Exemptions
F.Unilateral Action and Article 101 (3)
5.Conclusions
6.Further Reading

5. INTRODUCTION TO ARTICLE 102 TFEU
1.Central Issues
2.Introduction
3.The Text of Article 102
4.The Scheme of Article 102
A.The Prohibition
B.The Enforcement of Article 102
S.The Interpretation and Application of Article 102
A.The Meaning of One or More Undertakings
B.A Dominant Position
C.A Dominant Position Within a Substantial Part of the Internal Market
D.Abuse
E.An Effect on Trade Between Member States
6.The Review of Article 102
A.The Inauguration of the Review
B.The Staff Discussion Paper
C.The Guidance Paper
7.The Relationship Between Article 102 and Article 101
8.Conclusions
9.Further Reading

6. ARTICLE 102 TFEU: DOMINANT POSITION
1. Central Issues
2. Introduction
3. The Definition of a Dominant Position
A. The Definition of a Dominant Position in the Case Law
B.Dominant Position in the Guidance Paper
C.Effects-Based Analysis and the Concept of Dominance
4.Establishing Dominance
5.Market Definition in Article 102 Cases
A.General
B.The Product Market
C.The Geographic Market
D.The Temporal Market
E.The TetraPakllCase
6.Assessing Market Power
A.General
B.Market Shares
C.Other Factors Indicating Dominance and Barriers to Entry
D.Countervailing Buyer Power
E.Dominant Positions in the New Economy
7.Conclusions
8.Further Reading

7. ARTICLE 102 TFEU: CONDUCT WHICH CAN BE AN ABUSE
Central Issues
2.lntroduction
3.The Meaning of Abuse
A.General
B.Types of Abuse Covered by Article 102 TFEU
C.Article 102 Covers Exploitative and Exclusionary Abuses
D.The Broad Nature of the Concept of Abuse
E.Exclusionary Abuses: Distinguishing Illegitimate from Legitimate Conduct
F.Form- and Effects-Based Analysis
G.Appreciability
4.The Commission's Approach to Exclusionary Abuses in the Guidance Paper: The Anti-Competitive Foreclosure Concept
5.Objective Justification, Efficiency, and Other Defences
A.General
B.Objective Justiflcation in Post Danmark
C.Objective Necessity
D.Efflciencies
E.The Burden of Proof
F.The Difficulties of the Efficiency Defence
G.Protecting the Undertaking's Own Commercial Interests
H.The Meeting Competition' Defence
6.Dominance and Abuse on Different Markets
7.General Issues in Respect of Abuses Concerning Prices
A.Exploitative and Exclusionary Pricing Policies
B.Price Discrimination
C.Costs Levels
D.The General Approach of the Guidance Paper to Price-Based Exdusionary Conduct: The As Efficient Competitor' Standard
E.The General Approach of the EU Courts to Pricing Abuses
8.Predatory Pricing
A.General
B.The Areeda—Turner Test
C.The Test Laid Down in AKZO
D.The Post Danmark 1 Case
E.The 'Meeting Competition' Defence and Predatory Pricing
F.Recoupment
G.Predatory Pricing in the Guidance Paper and the Sacrifice Principle
H.Predatory Pricing in New and Digital Economy Markets
1.Selective Above-Cost Pricing
9.Margin Squeeze
A.General
B.The Case Law
C.Cases and Decisions Outside the Telecommunications Sector
D.Margin Squeeze in the Guidance Paper
E.US Law on Margin Squeeze
F.Comment
G.Summary
10.Exclusivity Obligations and Exclusive Dealing
A.General
B.Exclusive Purchasing
C.Exclusive Distribution
D.Exclusive Purchasing in the Guidance Paper
11.Discounts and Rebates
A.General
B.Terminology of Discounts and Rebates
C.Categories of Rebates in EU Law
D.Quantity Rebates
E.Exclusivity (Loyalty/Fidelity) Rebates
F.Rebates Falling Within the Third Category
G.Rebates in the Guidance Paper
H.Conclusions
12.Tying and Bundling
A. General
B. The Commercial Rationale for Tying and Bundling
C. The Economic Arguments over Tying and Bundling
D. Tying and Bundling and Article 102
E. The Case Law
F. Tying and Bundling in the Guidance Paper
13.Refusal to Supply
A.General
B.The Exclusion of Competitors from Downstream Markets
C.Refusal to Supply and Intellectual Property Rights
D.Refusal to Supply and Interoperability—The Microsoft Case
E.Refusal to Supply in Situations Not Involving Upstream Downstream Markets
F.Refusal to Supply in the Guidance Paper
G.Refusal to Supply and the Essential Facilities' Doctrine in US Law
14.Other Exclusionary Practices
A.General
B.Pursuit of Legal Proceedings, Vexatious Litigation, and Enforcing Legal Rights
C.The Misuse of lntellectual Property Rights or Other Regulatory Procedures
D.Search Engine Practices
E.The Acquisition of intellectual Property Rights and/or Competing Technologies
F.Naked Restrictions
G.Vertical and Horizontal Integration
15.Discrimination
A. General
B. Article 102(c) TFEU
C. Article 102(c) and Non-Vertically lntegrated Undertakings
D.Vertically Integrated Undertakings
E.Geographical Price Discrimination
F.Competitive Disadvantage and Article 102(c)
16.Exploitative Abuses
A.Unfairly high or Low Pricing
B.lmposing Unfair Trading Conditions and Entering into Restrictive Agreements
C.Inefficiency and Limiting Production
17.Conduct Hindering Inter-Member State Trade
18.Abuse and Collective Dominance
19. Conclusions
20. Further Reading

8. COMPETITION, THE STATE, AND PUBLIC UNDERTAKINGS: ARTICLE 106 TFEU
1. Central Issues
2. Introduction
3. Article 4(3) TEU
4. Article 106
A. The Objectives of Article 106
B. The Format of Article 106
S. Article 106(1)
A. Definitions
B. Measures Which Are Forbidden by Article 106(1)
C.Summary of the Situations Which Infringe Article 106(1)
in Conjunction with Article 102
6. Article 106(2)
A. The Institutional Setting of Services of General Economic lnterest
B. The Concepts and Terminology of Services of General Economic lnterest' and 'Services of General lnterest'
C.The Purpose of Article 106(2)
D. Undertakings Having the Character of a Revenue-Producing Monopoly
E.Undertakings Entrusted with the Operation of Services of General Economic lnterest
F.No Effect on Trade Contrary to the lnterests of the Union
7. The Direct Effect of Article 106(1) and (2)
A.Article 106(1)
B.Article 106(2)
8. Article 106(3)
A. The Ambit of the Provision
B. Decisions
C. Directives
9. Services of General Economic lnterest and State Aid
10. Conclusion on Services of General Economic Interest
11. Conclusions
12. Further Reading

9. CARTELS AND OLIGOPOLY
1. Central lssues
2. lntroduction
A. Cartels and Oligopoly
B.Explicit and Tacit Collusion
C.Competition Law and Collusion (Explicit and Tacit)
3.Cartels, Information Exchanges, and Restrictions on Non-Price Trading Conditions, Advertising, and Promotion
A.'Hardcore' Cartels
B.lnformation-Sharing Agreements
C.Restrictions on Non-Price Trading Conditions, Advertising, and Promotion
D.Proving a Breach
4.Oligopoly
A.The Oligopoly Problem and Article 101
B.Oligopoly and Article 102
C.Alternative Methods for Dealing with Oligopolistic Markets Under EU Law
S.Conclusions
6.Further Reading

10. HORIZONTAL COOPERATION AGREEMENTS
1.Central Issues
2.Introduction
3.Appraisal of Horizontal Cooperation and Joint Ventures: Evolution of Policy
A.Appraisal Under the EU Merger Regulation or Article 101?
B.The Development of the Commission's Approach to the Assessment of Horizontal Cooperation Under Article 101
4.Research and Development Agreements
A.The Application of Article 101 (1)
B.The Application of Article 101 (3)
5.Production Agreements
A.General
B.The Application of Article 101 (1)
C.The Application of Article 101 (3)
6.Purchasing Agreements
A.The Nature of joint Purchasing and its Treatment in the Guidelines
B.Cases on Joint Purchasing
7.Commercialisation Agreements
A.General
B.The Application of Article 101 (1)
C.The Application of Article 101 (3)
8.Standardisation Agreements
A.Staridardisation and Standard-Setting
B.Standardisation Agreements with Environmental Benefits
C.Standard Tens
9. Agreements in Particular Sectors
A. General
B. Insurance
C. Payment Services
D. Sport
10. Conclusions
11. Further Reading

11. VERTICAL AGREEMENTS
1.Central Issues
2. Introduction
A. General
B.Methods of Distribution
C.Competition Rules and Distribution
3. The EU Approach to Distribution Agreements—An Overview
A. The Background: The Single Market Project and Restrictions on Economic Freedom
B. The Approach Since 1999: The Block Exemption and Reform
C. Methodology
4. Distribution Agreements and Article 101 (1) of the Treaty
A. Vertical Agreements which Restrict Competition by Object
B.Analysing the Restrictive 'Effect of Vertical Restraints
5. Article 101(3)
A. General
B. The Old Block Exemptions
C. The Verticals Regulation—Regulation 330/2010
D. The Motor Vehicle Distribution Block Exemption
E.Article 101(3)—Individual Assessment
6. Subcontracting Agreements
7. Article 102 and Distribution
8. Conclusions
9. Further Reading

12. LICENSING AGREEMENTS AND OTHER AGREEMENTS INVOLVING INTELLECTUAL PROPERTY RIGHTS
1. Central Issues
2. Introduction
A. General
B.Types of intellectual Property Rights
C. The Relationship Between Intellectual Property Rights and Competition Law
D. The Relationship Between Intellectual Property Rights and the Free Movement Rules
3.Exploiting Intellectual Property Rights by Licensing
A.General
B.Commercial Considerations in Licences
C.Development of Competition Policy Towards Licensing of Intellectual Property Rights
D.The 2014 TTBER and the Technology Transfer Guidelines
4.Regulation 316/2014, the TechnoiogyTransfer Block Exemption
A.General
B.The Scheme of the TTBER
C.Principal Features of the TTBER
D.Scope of the TTBER
E.Safe Harbour: The Market Share Thresholds
F.Hardcore Restrictions
G.Excluded Restrictions
H.Withdrawal and Disapplication of the Block Exemption
5.The Application of Article 101 to Licensing Agreements Failing Outside the TTBER
A.General Principles
B.Specific Provisions
6.Trade Mark Licences
A.General
B.The Campari Decision
C.The Moosehead/Whitbread Decision
D.The Current Position
7.Trade Mark Delimitation Agreements
8.Copyright (Other Than Software) Licences
A.General
B.Broadcasting Licences and Performance Copyright
C.Collective Licensing of Copyright
9.The Application of Article 102 to Intellectual Property Rights
10.Conclusions
11.Further Reading

13. PUBLIC ENFORCEMENT BY THE COMMISSION AND THE NATIONAL COMPETITION AUTHORITIES OF THE ANTITRUST PROVISIONS
1. Central Issues
2. Introduction
3. The Change to the Enforcement Regime in May 2004
4. Modernisation and Regulation 1/2003
A. The Old Enforcement Regime Set Up by Regulation 17
B. The Modernisation White Paper
C.Regulation 1/2003 and the Modernisation 'Package'
5.The European Competition, Network
6.The Best Practices Notice and the Manual of Procedures
7.Enforcement by the Commission
A. General
B.Fundamental Human Rights
C.The Investigation Stage of the Administrative Procedure: Fact-Finding by the Commission
D.The Second, 'Inter Partes' or 'Adversarial', Stage of the Procedure
E.Commission Decisions
F.The Settlement Procedure m Cartel Cases
G.Informal Settlements
H.Fines and Periodic Penalty Payments
1.Sector Inquiries
J.The Powers of the Commission and Due Process
8.Proceedings Before the Court of justice of the European Union
A.Judicial Review
B.Actions for Damages Under Article 340 TFEU
9.Enforcement by the National Competition Authorities Within the European Competition Network
A.General
B.Division of Work
C.Consistent Application of Articles 101 and 102
D.Further Strengthening of the NCAs and the ECN
10.The Relationship Between EU and National Competition Law
11.Criminalisation and Sanctions Against Individuals
12.Complaints
A.General
B.Where to Complain
C.Standing
D.The Procedure
E.The Three-Stage Procedure
F.Rejection of the Complaint
G.Acting on a Complaint
H.Judicial Review Proceedings
1.Complaints and the Merger Regulation
13.Conclusions
14.Further Reading

14. PRIVATE ENFORCEMENT
1. Central Issues
2. lntroduction
3. The Role of Private Antitrust Litigation and its Relationship with Public Enforcement: The Experience in the US
4.Private Enforcement in the EU
A.Overview: Effective Judicial Protection and the Principle of National Procedural Autonomy
B.Uniform and Concurrent Application of Articles 101 and 102
C.The Enforceability of Agreements lnfringing Article 101 or 102
D.Remedies: Injunctions and Damages
5.Conclusions
6.Further Reading

15. MERGERS
1.Central Issues
2.Introduction
A.What is a Merger?
B.The Purposes of Merger Control
C.The History of the European Merger Control Regulation
D.Scheme of the European Union Merger Regulation
3.Jurisdiction
A.Concentrations
B.EU Dimension
C.Concentrations with an EU Dimension: A One-Stop Shop?
D.Concentrations without an EU Dimension
E.A Residual Role for Articles 101 and 102 of the Treaty
4.Procedure
A.Notification
B.Reasoned Submissions
C.Suspension
D.Phase 1 Investigation
E.Phasell
F.Conduct of Merger Investigations
G.Summary
5.Substantive Appraisal of Concentrations Under the EU Merger Regulation
A.Background
B.Reform and the New Substantive Test
C.Burden and Standard of Proof and Counterfactual
D.A Significant Impediment to Effective Competition
E.Article 2(4),(5), JointVentures
F.Restrictions Directly Related and Necessary to the Concentration
G.Commitments or Remedies
6.EUMR Statistics
7.Judicial Review and Other Proceedings Before the EU Courts
8.International Issues
A.The Long Arm of the EUMR
B.Reciprocity
9.Conclusions
10.Further Reading

16. INTERNATIONAL ASPECTS
1.Central Issues
2.Introduction
3.International Law
4.US Law
A.General
B.The Effects Doctrine
C.Enforcement and the Reactions of Other States
D.Foreign Plaintiffs iii US Courts
E.The Effects Doctrine and Foreign Conduct Affecting Exports
5.EU Law
A.General
B.The Dyestuffs Case and the Single Economic Entity Doctrine
C.The Wood PuIp Case and the lmplementation Doctrine
D.The Gencor Case
E.Intel and the Qualified Effects Doctrine
F.The Innolux Case and the Calculation of Fines
G.Enforcement Jurisdiction
6.International Cooperation
A.General
B.EU Bilateral Agreements
C.Multilateral Cooperation
7.Conclusions
8.Further Reading

Index