Chillin'Competition

I have just uploaded on ssrn (see here) a paper entitled ‘The Categorisation of Practices in EU Competition Law‘. It will be coming out in the forthcoming Liber Amicorum in Honour of Nils Wahl, jointly edited by Luca Prete and Leila Rezki.

As I explain, the definition of legal categories is one of the core functions that the EU courts are asked perform in the area of competition law (and, dare I add, in EU law at large). Wouter Wils explained a while ago that ‘all human thinking‘ involves the use of categories. It is therefore an illusion to think that the law can be administered without resorting to them. What matters, Wouter rightly added, is not whether categories exist, but whether those used are sound.

The paper explains the fundamental role of categories in a field, like EU competition law, that revolves around open-textured concepts such as ‘restriction of competition’ or ‘abuse’. It also discusses, second, the main approaches that might be followed to the characterisation of conduct. Finally, it provides an overview of the techniques that the Court of Justice has followed over the years to define and refine categories.

It would be great to get your thoughts on the piece. And keep an eye on the launch of the book!

The meaning and scope of Article 101(1) TFEU is much clearer than it was just a decade ago (see here for a discussion). This relieving reality is in no small part a consequence of the steady stream of cases dealing with pay-for-delay practices in the pharma sector.

Rulings addressing pay-for-delay issues (and variations thereof) have provided the core test to establish whether a practice amounts to a restriction by object (since Generics, the issue is whether the only plausible explanation for it is the restriction of competition) and emphasise that, as far as Article 101 TFEU is concerned, anticompetitive effects will be assessed against the relevant counterfactual (a point on which I elaborated here).

More generally, the pay-for-delay saga illustrates that context is everything: as recently explained by Advocate General Emiliou in Tondela (here), a restriction of competition can never be established in the abstract. Whether it is a by object or by effect infringement, it is necessary to consider the circumstances surrounding the agreement.

One could have thought that these cases could not provide more clarity on the analytical framework to assess restrictions of competition. The Court judgment in Teva, however, has showed that the saga still has much potential to shed light on Article 101(1) TFEU.

Assessing the object of a practice in its context is not the same as evaluating its effects

The ruling in Teva is particularly helpful in that it engages with a line of reasoning that has become commonplace in recent years. According to some commentators, the contextual assessment of restrictions by object is problematic insofar as it blurs the line between object and effect.

I have never been persuaded by that criticism, which does not reflect the reality of the case law. Assessing the object (the rationale, that is) of a practice in the relevant economic and legal context is fundamentally different from establishing its actual or potential effects in the market (or markets) in which it is implemented.

It is certainly true that, once the anticompetitive object of an agreement is established, it is not necessary to ascertain its effects (something that the Court briefly reminds in Teva, paras 121-124, when dealing with the second plea raised by the appellants). It does not follow from this fact, however, that a contextual analysis is not required.

More generally, nowhere is it written that proving the object of an agreement should ignore the surrounding circumstances, or that it should be easy or straightforward to do so. The idea that the ‘object’ category is something of a ‘shortcut’ is foreign to EU law. It is borrowed from US antitrust law, which is fundamentally different from its European counterparts in more ways than one.

The appellants in Teva sought to advance a variation on this argument. They claimed, more precisely, that the General Court had conflated object and effect by, inter alia, introducing a counterfactual assessment, thereby making it impossible for the parties to the agreement to discharge their burden of proof.

The Court summarily dismissed these claims. When ascertaining the rationale, or object, of an agreement, it makes sense to consider the set of incentives it creates (paras 77 and 78). I would say more: how a practice influences the incentives of the parties will often provide a vital clue about what it seeks, objectively speaking, to achieve. That assessment does not entail an evaluation of the effects of the agreement in any way, contrary to what the parties claimed.

In the same vein, the Court concludes, the General Court did not require the parties to show what would have happened in the absent of the agreement. The relevant question remained that of whether the contentious transactions could be plausibly explained other than as a means to restrict competition (para 100). To the extent that it did, the General Court’s assessment remained firmly within the boundaries defined by Generics.

The unit of analysis is the clause, but context matters

The preceding case law had been clear in stating that the relevant unit of analysis is the clause, not the agreement as a whole (and this includes the crucial issue of severability). Examples abound. Arguably the canonical one is Pronuptia, where the Court distinguishes between the clauses that are ancillary to the operation of the franchise and those that are not (which, moreover, were found to restrict competition by their very nature).

The Court’s long-standing position is the only reasonable one. It would be too easy for the parties to avoid a finding of a ‘by object’ infringement if they were allowed to invoke the non-restrictive nature of the agreement taken as a whole. In effect, it would empty the ‘object’ category of its substance. For instance, a standard-setting agreement could be used as a vehicle to conceal a cartel agreement.

What Servier pointed out, and the Court mentions again in Teva (para 68) is that the analysis of the clauses cannot be undertaken in isolation. It may be the case that the clauses, taken together, are different aspects of a common strategy. If that is true, it is only reasonable that they are analysed together. By the same token, it is futile for the parties to try and argue that a given clause, examined in isolation, is not restrictive by its very nature. Such an interpretation would, again, entail a fundamental misunderstanding of the nature of the analysis under Article 101(1) TFEU.

At the end of the day, the Court’s clarification in Servier and Teva is another way of saying that context is everything at the ‘by object’ stage. The contextual analysis must by definition commence by looking at the agreement of which the clauses are a part. It is the first starting point, before shifting to factors such as the nature of the products or the dynamics of competition within the sector. The first step of the contextual assessment is likely to provide valuable hints about their nature.

Consider the example of price-fixing. There is a difference between a ‘naked’ price-fixing clause and one that is inserted in an agreement that pursues a non-restrictive aim. For instance, the Commission has long held (and rightly so, since the Court itself held just as much in Gottrup-Klim) that price-fixing clauses in the context of a joint purchasing agreement are not necessarily restrictive by object (see here). It has recently provided a good example that applies to SEP licensing.

The Commission Decision in Google Ad Tech exemplifies, better than any other, the shift in the centre of gravity of competition law enforcement towards remedies (see here for a more extensive discussion of this point). It also shows that remedy design is probably the single most important aspect to address in the ongoing reform of Regulation 1/2003.

In the current economic and technological landscape, a finding of infringement no longer marks the end of a case. This milestone is, as they say, just the end of the beginning. The effectiveness of enforcement, in digital and others markets, depends less on establishing an abuse of dominance than it does on ensuring that the infringement is brought to an end by means of a workable and well-crafted remedy.

Towards a structured framework for the design and implementation of remedies

The approach that the Commission is following in Google AdTech is a (welcome) innovation against this background. It has implemented what is, in effect, an ad hoc procedure to define the obligations with which the firm must comply. As this post is being finished, the Commission and Google are in the midst of conversations in the context of this informal procedure (see here for a recent update on the matter).

The aftermath of the decision suggests that the Commission acknowledges that merely ordering a firm to bring the infringement to an effective end no longer does the trick, and neither does a ‘principles-based’ approach that requires an undertaking to abide by an open-textured standard (such as non-discrimination). As I have written elsewhere, the complexity of remedies cannot be wished away by authorities.

Even if only de facto for the time being, Google AdTech suggests that the design and implementation of the remedy will, from now on, follow a structured framework that is independent from the finding of infringement.

Pursuant to the Automec doctrine, this ad hoc procedure gives the firm the chance to come up with a proposal to bring the infringement to an effective end. On the other hand, it allows the Commission to evaluate whether the undertaking’s proposal indeed addresses the concerns identified in the decision.

Where necessary (and this is the crucial third step), the Commission will specify the obligations with which the firm must comply (just like it does in the context of a commitments procedure). On this point, it has clearly signalled that it may adopt structural measures breaking up Google’s adtech business.

What matters, irrespective of the nature of the remedy, is that the duties imposed upon the firm are spelled out clearly and in sufficient detail to ensure immediate and full compliance.

The need for a structured framework: the experience of Google Shopping

The experience of the past few years shows that a framework for the specification of remedies is indispensable for the effective operation of the competition law regime. Delegating the design and/or implementation of remedies to firms is in nobody’s interest, neither that of the competition authority, nor the addressees of the decision nor of third parties potentially benefitting from intervention.

More importantly, it is now difficult to dispute that the ‘principles-based’ approach to remedial action has failed. The uncertainty to which it gives rise has major practical consequences, which were dramatically exposed last week (see here).

Google Shopping is a case where controversy around compliance with the remedy never really went away. Whether or not the measures implemented by the firm back in 2017 brought the infringement effectively to an end has always been (and remains) contentious.

It is against this background of perpetual limbo that a German court awarded damages to two of Google’s rivals on the market for price comparison last week. Crucially, the damages award extends to the period following the adoption of the Commission decision, and is therefore based on the assumption that the firm never actually complied with the principles-based remedy imposed.

Even though the Commission never opened non-compliance proceedings against Google, the absence of a decision formally and positively declaring that the infringement had been brought to an effective end paved the way for the award of damages beyond 2017.

This judgment suggests that any remedy implemented following a ‘principles-based’ approach is potentially vulnerable to challenge and, as such, a source of legal and non-legal uncertainty.

Moving forward: codifying the framework

The Commission’s introduction of an ad hoc remedial framework in Google AdTech is therefore the right way forward. Acknowledging the realities and demands of contemporary industries is not just wise but indispensable. It would be desirable if the ad hoc remedies procedure were improved along three dimensions.

First, transparency. The exchanges between the firms and the authority should benefit from similar levels of openness as those observed in the context of commitment procedures. What the firm proposes as per Automec and the authority’s assessment of the proposal should not happen behind closed doors.

Second, third-party involvement. One of the advantages of the commitments procedure within the meaning of Article 9 of Regulation 1/2003 is that obligations are ‘market-tested‘ with stakeholders. A structured procedure would give these stakeholders a meaningful chance to provide input about the proposals and to express their concerns, if any.

Third, codification. Ideally, this procedure would be enshrined in a reformed Regulation 1/2003. As a second best, it could at least be codified at the internal level (the 2019 version of the Manual of Procedure was, say, succinct about the issue or remedies and would definitely benefit from a revamp and further detail).

An editorial of mine has recently come out with the Journal of European Competition Law & Practice (JECLAP). It is available here. The point it makes is simple: the first instinct of illiberal regimes is arguably to disregard the law and ignore expertise (whether it relates to climate change, vaccine safety or any other issue).

I argue, against this background, that, if competition law is to play a role in the protection of democracy and its institutions, it must resist the temptation to abandon law and expertise in the name of expediency or effectiveness. Such a move is not only likely to weaken policy-making and affect its quality, but would inevitably backfire over the long run.

I look forward to your thoughts on it. I explored the same ideas in the keynote lecture delivered in honour of Heike Schweitzer a few months ago (see here).

I have uploaded on ssrn a new paper (see here) a paper that discusses the judgment of the Court of Justice in Android Auto as well as its substantive and institutional implications. I am pleased that the paper received yesterday the AdC Competition Policy Award, organised every year by the Portuguese Competition Authority.

The way in which Android Auto has changed the law of refusal to deal, it seems to me, may not have been fully appreciated. To make this point, it is sufficient to apply the Court’s reasoning in Android Auto to the facts at stake in Bronner. The latter would have been decided differently; evidence of indispensability would not have been required to establish an abuse.

As I explain in the paper, this difference is a function of the way in which Android Auto (re)interprets the indispensability condition. In Bronner and Magill, whether or not the dominant firm had kept the assets ‘for the needs of its own business‘ was assessed by reference to the relevant market concerned by the refusal. It was therefore irrelevant that the TV channels in Magill were licensing their copyright to newspapers (but not weekly magazines) or that Mediaprint was printing and distributing another publication in Bronner at the time of the facts.

The analytical approach followed in Android Auto construes the indispensability condition differently. According to the new doctrine, where the dominant firm is dealing with a third party in market A, it can no longer invoke indispensability in relation to a refusal concerning market B. For the same reason, the judgment has significantly reduced the scope of the refusal to deal case law.

This transformation has obvious implications for digital markets. Dominant players in these markets often run systems that are partially open and partially closed. This said, the criteria followed by the Court suggest that the ruling is likely to have an impact in other industries and markets.

In any event, the implications of the judgment go beyond the shrinking of the refusal to deal doctrines. Android Auto allows for intervention that is not confined to a mere duty to deal. A dominant firm may indeed be required not just to share an input or infrastructure with third parties, but to redesign its assets by taking into account the demands of the said third parties. In this sense, the operation of the infrastructure becomes a cooperative venture.

I look forward to your comments on the paper. And thanks again to the AdC!

LSE Law School is looking for an Assistant Professor of Competition Law, to join the Faculty in September 2026. All information in terms of requirements, conditions and on how to apply can be found here: https://www.jobs.ac.uk/job/DOZ822/assistant-professor-in-law-competition-law.

Needless to say, the competition law team could not be more excited about the prospect of enhancing our teaching and research capabilities in the field.

I can tell from experience that LSE Law School is a non-hierarchical environment that allows you to flourish and find your voice as a scholar. Teaching and administrative duties are light in the first few years (up until promotion to an Associate Professorship). In addition, you will benefit from an annual (and generous) research allowance.

You may be asked to contribute to teaching in foundational subjects, but our competition law curriculum is large and varied. In addition to a dedicated undergraduate module, the LSE Law School now offers an LLM programme with an ample array of competition law options, ranging from State aid and subsidies to the regulation of competition in digital markets.

If you are interested in applying and would like to have an informal chat about the post, do not hesitate to get in touch with me.

With every new academic year comes a new edition of the mardis du droit de la concurrence, This series has been around pretty muchsince the dawn of European competition law. It continues to be a unique venue to get a sense of the evolution and direction of travel of our field, more recently under the expert leadership of Denis Waelbroeck and Jean-François Bellis (now joined by the great Nathan Cambien).

The programme for the new academic year is now out (see here). It includes talks that have become classic fixtures, such as Fernando Castillo de la Torre‘s overview of the case law in the area of cartels and provides a complete tour d’horizon of all areas of enforcement, featuring both Commission officials and private practitioners.

Advocate General Laila Medina will be closing this year’s series with a *lundi du droit* (11th May 2026) with a speech on ‘EU competition law and the Court of Justice‘.

I am honoured (and grateful) to have been invited to open this year’s series on Tuesday 4th November (7pm Brussels time) with a discussion on the recent developments on abuse of dominance. More info on can be found on the flyer above. I really look forward to seeing many of you there!

This blog has been neglected to such an extent in the past few months that some of you got in touch to ask whether everything was OK. Fortunately, the only reason I did not get around to sharing thoughts more often is that I was absorbed in the writing of The New Law of State Aid and Subsidies.

As the very cover suggests, it is the second volume of ‘The New’ trilogy, the first instalment of which was The New EU Competition Law. If you were wondering, I hope it will be followed by a monograph on merger control, which is also undergoing fundamental transformations.

I submitted the manuscript to Hart in the early days of summer, and The New Law of State Aid and Subsidies already has a dedicated webpage: https://www.bloomsbury.com/uk/new-law-of-state-aid-and-subsidies-9781509990306/.

The new instalment of the trilogy shares the philosophy of the preceding one: a relatively short, affordable (it will come out in paperback from the beginning) and hopefully accessible volume that is modular by design (in the sense that individual chapters can be read independently of one another).

This is a book that I have been meaning to write for a long time. In more ways than one, it is the fruit of many years teaching State aid and subsidies at the LSE Law School. Providing a conceptual framework to convey the essence of the discipline to students approaching it for the first time is a real challenge. Some chapters (such as the one devoted to selectivity) reflect many hours of class discussions and are no doubt enriched by students’ contributions.

Other chapters seek to trace the various ways in which the law of State aid and subsidies is undergoing fundamental changes. There are, as I explain in the introduction to the book, at least three ways in which this field can be said to be ‘new’:

First, the law is new in a literal sense. The EU Foreign Subsidies Regulation and the UK Subsidy Control Act are novel pieces of legislation that share some features with the EU State aid regime but also depart from it in a number of respects. There is a dedicated chapter addressing each of these developments (and have been able to incorporate, inter alia, the new draft guidelines on foreign subsidies).

The law is also new in another sense. Following what I call the ‘permacrisis’ of EU State aid policy (where COVID was followed by the invasion of Ukraine, and this against a background of deglobalisation) a ‘new normal’ has emerged (epitomised by the Clean Industrial Deal Framework) that suggests that it may no longer be possible to turn back the clock to the pre-COVID era.

Finally, the tax rulings saga, the symbolic culminating point of which is the Court judgment in Apple (delivered exactly a year ago), ventured into issues that tested the boundaries of Article 107(1) TFEU and, more generally, the ability of the regime to address harmful tax competition. The saga has been so central to the development of EU State aid law that there is a whole chapter devoted to it.

I very much hope we will be able to celebrate the launch of the book, in London, Bruges and beyond, in the new year, and look forward to sharing those moments with many of you. Stay tuned in the meantime!

Five years ago, our friend and colleague Rubén Perea Molleda passed away, just as he was about to embark on a promising career in competition law following his graduation from the College of Europe. Rubén’s memory remains vivid for everyone who knew him. To honour his memory, we established a competition-law and economics writing prize, which is already in its sixth edition.

As in previous years, the award-winning paper will be published in a special issue of the Journal of European Competition Law & Practice, together with a selection of the best submissions (the JECLAP special issue featuring the winner and finalists of the 5th edition will be out very soon; many articles are already available in Advanced Access). The winner may also receive the award from Executive Vice-President Teresa Ribera.

Who can participate?

In principle, you may only participate if you have not reached the age of 30 by the submission date (i.e., if you were born after 15 October 1995). Undergraduate and postgraduate students, as well as scholars, public officials and practitioners are all invited to participate. This award celebrates promising academic writing from individuals at the beginning of their careers. Our aim is to support and spotlight emerging voices. Thus, if your career path is non-traditional and you believe you align with the spirit of this award, we welcome a brief explanation for consideration here. 

What papers can be submitted?

You may submit a single-author unpublished paper on competition law, policy, or economics, which is not under consideration elsewhere. The paper may be specifically prepared for the award, but it may be a redraft of an undergraduate or postgraduate dissertation. Please follow the following instructions: (1) the paper must not exceed 15,000 words (including footnotes, knowing that there is no need to include a no bibliography); (2) follow the JECLAP house-style rules, which can be found here; (3) please include a short summary in the form of 3-4 key points (single-sentence bullet points).  

For your information, the Jury will assess your paper based on the following three main criteria: (1) clarity of writing; (2) depth of research; and (3) innovativeness. This year, the Jury will consist of Petra Nemeckova, Alfonso Lamadrid, Gianni De Stefano, Philip Marsden, Eugenia Brandimarte, Nicolas Fafchamps, David Perez de Lamo, and Lena Hornkohl.

How to submit?

Please submit the paper via this link: https://mc.manuscriptcentral.com/jeclap. IMPORTANT: As you go through the submission process, make sure that in Step 5, you answer YES to the question “Is this for a special issue?”, and indicate that your submission relates to the Rubén Perea Award.

What is the DEADLINE?

Papers have to be submitted by 23.59 (Brussels time) on 15 October 2025.

JECLAP is particularly proud to announce the publication of a Special Issue devoted to Competition Law and Gender Perspectives. The initiative owes a great deal to the indefatigable Lena Hornkohl, who has worked together with European Commission officials Johannes Holzwarth and Senta Marenz (both of whom are involved in DG Comp’s Equality Network).

The issue can be accessed here. It comes with an editorial by Lena, Johannes and Senta. As you can see from the list below, the pieces are invariably fascinating and cover a great deal of ground (with the added plus that many of them are available in Open Access). We very much hope this issue will contribute to raising the salience of gender issues in competition law.

Gender and Competition Law: An Exploration of Feminist Perspectives, by Giorgio Monti (Tilburg University)

Building a More Inclusive and Gender-proof Competition Law in Europe, by Baskaran Balasingham, Italo Leone and Linda Senden (Utrecht University)

Gender Inclusive Priority Setting in Competition Law Enforcement, by Kati Cseres (University of Amsterdam) and Or Brook (University of Leeds)

Influence of Gender Perspectives on the Work of Competition Authorities, by Lisa Leitner, Corinna Potocnik-Manzouri, and Nora Schindler (Bundeswettbewerbsbehörde Austria)

Diversity and Cartel Governance, by Johannes Blaschczok and Shazana Rohr (LMU Munich)

At first Blush—Taking a Competition Lens to Healthcare Pink Taxes, by Neha Georgie (Compass Lexecon Singapore)

Bridging the Innovation Gender Gap: Considerations under EU Merger Control, by Ece Ban (University of Oxford) and Carolina Banda (MPI for Innovation and Competition Munich)

Monopsony Power, Competition Law, and Women’s Informal Labour Markets in Latin America, by Germán Oscar Johannsen and Jeniffer Rodriguez (MPI for Innovation and Competition Munich)

Feminist Legal Education and Teaching Competition Law, by Mary Catherine Lucey (University College Dublin)