The aim of this paper is to present and to clarify the current approach of EC Competition Law to merger cases, in particular with regard to the problem of collective dominance. I will outline the problems arising from collective dominance in the context with the significant case Airtours plc v. EC Commission, recently dealt with by the European Court of First Instance. Firstly, I will give briefly the relevant facts of the Airtours case (I.). Secondly I will analyse the case with regard to the criticism made by legal experts (II.) and then give an ove rview on which measures are proposed in the future to eliminate the errors made (III., IV.). Lastly, I will interpret these measures and give an answer to the question whether or not these measures are sufficient to solve the present problems in context with the current EC Merger Regulation (V.).
Inhaltsverzeichnis (Table of Contents)
- Introduction
- I. Airtours plc v EC Commission -the Relevant Facts
- II. Key Issues in the Airtours Case
- A. Definition of the Relevant Market.
- B. Establishing Post-Merger Collective Dominance
- 1. Preconditions of Collective Dominance within the ECMR..
- 2. Application of the Collective Dominance Doctrine in the Airtours Case
- i. Tacit Co-ordination and Market Transparency..
- ii. Adequate Punishment Mechanism........
- iii. Marginalisation of Smaller Competitors and Consumer Reactions.......
- III. Implications of the Airtours Judgement........
- IV. Prospect Revision of the ECMR.....
- V. Assessment of the Reform Proposals.........
- Conclusion....
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to clarify the current approach of EC Competition Law to merger cases, particularly regarding the problem of collective dominance. The analysis focuses on the Airtours plc v. EC Commission case, examining the criticisms made by legal experts and exploring proposed measures to rectify perceived errors. The paper ultimately assesses whether these measures are sufficient to address current challenges within the EC Merger Regulation.
- The application of the collective dominance doctrine in merger cases.
- The Airtours case and its critique by legal experts.
- Proposed measures for reform of the EC Merger Regulation.
- The effectiveness of proposed reforms in addressing problems related to collective dominance.
- The future direction of EC Competition Law in relation to mergers.
Zusammenfassung der Kapitel (Chapter Summaries)
The paper begins by providing an overview of the relevant facts in the Airtours case, outlining the merger between Airtours plc and First Choice and the subsequent decision by the European Commission to block the merger on the grounds of collective dominance. The second chapter delves into the key issues raised by the Airtours case, examining the definition of the relevant market and the process of establishing post-merger collective dominance. It explores the preconditions for collective dominance within the ECMR and scrutinizes the application of the collective dominance doctrine in the Airtours case, specifically focusing on tacit coordination, punishment mechanisms, and the marginalization of smaller competitors. The third chapter discusses the implications of the Airtours judgement for EC Competition Law, while the fourth chapter considers the prospect of revising the ECMR to address the concerns raised by the case. The fifth chapter evaluates the proposed reform proposals, assessing their potential effectiveness in resolving the issues identified.
Schlüsselwörter (Keywords)
The paper centers on key concepts like collective dominance, merger control, EC Competition Law, the ECMR, the Airtours case, tacit coordination, market transparency, punishment mechanisms, and the reform of EC merger regulation. The analysis emphasizes the critical examination of the Airtours decision, the assessment of proposed reforms, and the implications of the case for the future development of EC Competition Law.
- Quote paper
- Rechtsanwalt Karsten Keilhack (Author), 2003, Critically analyse the decision of the European Court of First Instance in Airtours plc v EC Commission, Munich, GRIN Verlag, https://www.grin.com/document/22900