EU & Competition e-report 2017 EU Competition | Page 8

EU & Competition annual report
Intel ruling and EC banking investigation will
significantly impact on competition law
Ruling means exclusivity rebates will not always be considered an abuse of dominance, while banking
enquiry means increasing focus on sophisticated financial products
Roberto Vallina
The recent Intel ruling and the
European Commission’s investigation
into the banking sector have been
among the most significant recent
developments in the field of EU and
competition, says Roberto Vallina,
head of the EU and competition law
department at Roca Junyent.
“The Intel case is a landmark ruling
that will bring a significant change in
the abuse of dominant position policy
of the European Commission,” says
Vallina. In 2017, in a ruling with far-
reaching ramifications, the European
Court of Justice set aside the General
Court’s decision, which had upheld a
€1.06 billion fine imposed on Intel by
the European Commission for abuse
of dominance. Following the decision,
exclusivity rebates will not always be
considered an abuse of dominance unless
the conduct excluded competition from
an equally efficient rival. “This case could
result in a change in the evolution of the
case law in years to come,” Vallina notes.
Vallina also highlights the launching
of formal investigations, or sector
enquiries – by the European Commission
as well as national competition
authorities – focusing on the banking
industry, which remains very much a
key focal point for antitrust enforcement
efforts. “There will be a focus in
competition law on sophisticated
financial products in the coming years,”
Vallina says. As such, firms must “strive
to improve their knowledge of the
financial sector”, he adds.
In general, clients are increasingly
demanding day-to-day competition law
advice, Vallina observes. “Clients are
requesting more and more advice on
the spot – they want advice on a daily
basis, by email or phone, on how to
implement their antitrust policies and
guidelines,” he explains. This advice
must be tailored to the client, and at
the same time be clear and concise –
clients no longer accept overly-long and
complex memos, Vallina says. He adds:
“They need specific, customised advice,
on a case-by-case basis.”
Demand from pharmaceutical and biotechnology
companies for competition advice on the increase
Ricardo Rodrigues Lopes
There is considerable demand from
pharmaceutical and biotechnology
companies for EU and competition law
advice due to continuous changes to
regulations, says Ricardo Rodrigues Lopes,
partner at Caiado Guerreiro.
“Law firms have all been very busy on
the advisory side, particularly advising
companies in relation to international
competition law, especially businesses
covering multiple sectors, as more and
more companies seek to comply with
regulations governing the jurisdiction they
operate in,” Rodrigues Lopes adds.
“The sectors that are dominant in
this area in terms of companies seeking
legal advice are pharmaceuticals and
biotechnology, given there are frequently
new laws being drawn up regarding these
industries,” he says. In addition, there
is significant demand from clients in the
financial sector, according to Rodrigues
Lopes. “We are expecting changes in
electronic payment regulations, for
48 • IBERIAN LAWYER • November / December 2017
example, and until now banks have
been operating in a world of their
own, whereas now they will be facing
competition from the fintech sector.”
Rodrigues Lopes anticipates there
will be a steady increase in demand for
competition-related advice in the coming
years, particularly in relation to matters
at EU level. He adds that clients working
in multiple jurisdictions will be most
affected, and that competition-related
disputes are likely to increase. Rodrigues
Lopes says law firms will have to offer
better services and advice, especially in
relation to financial services regulations.
“I would say that competition-related
work will continue to mount up over the
coming years as competition increases,”
he says. “The EU’s competition laws are
likely to strengthen in the coming years,
and the issues that are most likely to
produce more work are those relating
to companies involved in international
operations, and the subsequent litigation.”
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