Exclusionary Rebates: An EU Lack Of Progress Report
March 10, 2010, 5:27 PM EST
Law360, New York (March 10, 2010, 5:27 PM EST) -- For decades, EU competition law gave a seemingly simple answer to the question whether a dominant firm could grant rebates to its customers. Since the landmark Sugar judgment of 1975 and the 1979 Hoffmann-La Roche judgment, rebates that did not reflect pure cost-based efficiencies were held to be illegal because they allowed the dominant firm to restrict customer choice and make sure that they would retain a (near-)exclusive position.
Subsequent fining decisions of the EU Commission prohibited a number of rebates schemes implemented by dominant firms....