January 2014 – Recent developments in competition law in the CEE-SEE region.
Czech Republic
The Czech Supreme Administrative Court cancelled the judg ment of the Regional Court in a predatory pricing case and provides guidance regarding the use of economic analysis (Student Agency)
On 3 November 2010 Student Agency, s.r.o. ("Student Agency"), a transport services and travel services provider was found guilty by the Office for Protection of Competition (the "Office") for an abuse of its dominant position on the market for public passenger bus transport services between the cities of Prague and Brno,1 for which a fine of CZK 6,185,000 (approximately EUR 229,000) was imposed on Student Agency.2 Following a remonstrance filed by Student Agency, this decision was confirmed by the Chairman of the Office; however, the fine was reduced to CZK 5,154,000 (approximately EUR 191,000).3 In its decision, the Office defined the relevant product market as the market for bus transport services between Prague and Brno (i.e. excluding rail transportation). Read more
Hungary
Hungarian court upholds NCA decision in IT procurement case ("University cartel"), reduces fine
In 2004, the Hungarian Competition Office (HCO) launched proceedings against International System House Kft. (ISH), SAP Hungary Kft. (SAP) and International Business Machines Magyarország Kft. (IBM) for bid-rigging in public procurement. The tenders in question aimed to provide five Hungarian universities with enterprise resource planning (ERP) systems and clinical systems software for the three universities with medical faculties. Read more
Romania
The Romanian Competition Council closes an investigation without imposing a fine in the market for the management of waste electrical and electronic equipment market
The Romanian Competition Council (the "RCC") recently finalised an investigation into the market for the management of waste electrical and electronic equipment (WEEE). In Romania, waste markets are relatively new markets, which have come into being only after Romania became a member of European Union and implemented the relevant European legislation package. Read more
Serbia
Overview of most notable amendments to the Serbian Law on Protection of Competition
In this article we present the most significant updates to the Serbian Competition Law in 2013. Read more
Slovakia
The Slovak bank cartel: an end to the saga? Banks cannot act in concert to drive a competitor out of a market – even if such competitor is operating unlawfully
In May 2011, in the case of CSOB bank, the Supreme Court controversially confirmed the decision of the lower courts which reversed the original decision taken by the Slovak National Competition Authority (the "NCA"). The NCA had ruled that an undertaking operating unlawfully cannot be a competitor on the relevant market and cannot be afforded legal protection. In May 2013, the Slovak Supreme Court (the "Supreme Court") under the guidance of the Court of Justice of the European Union (the "CJEU") in a preliminary decision ruled in favour of the NCA in the two remaining cases – in the case of SLSP bank and in the case of VUB bank. The judg ments now appear to have put an end to the bank cartel saga that has been dragging on since 2009. Read more
Turkey
The Turkish Competition Board clears the joint venture of Akpol (a Turkish Energy Company) and Gazprombank in the Turkish natural gas market
On 18 July 2013, the Turkish Competition Board ("Board") issued its decision on the formation of a joint venture in Turkey by (i) Akpol İnşaat Mühendislik Proje ve Ticaret A.Ş. ("Akpol") and (ii) Prima Energy Trading LLC ("Prima") (which is a wholly-owned subsidiary of Gazprombank OJSC) ("Gazprombank") ("Transaction") following the application for approval filed by Akpol and Prima. The joint venture was intended to consolidate the joint venture partners’ existing interests in two Turkish natural gas import companies – Enerco Enerji Sanayi ve Ticaret A.Ş. ("Enerco") and Avrasya Gaz A.Ş. ("Avrasya"). The joint venture company was to be in the form of a holding company called Promak Enerji Sanayi ve Ticaret A.Ş. ("Promak"). Read more