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COM C-56, 58/64" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Main points of law: &lt;br&gt;&lt;br&gt;- Art. 81 applies to vertical agreements&lt;br&gt;&lt;br&gt;- an absolute territorial protection (exclusive distribution +++) restricts &lt;br&gt;competition by object"><p>Main points of law: </p> <p>- Art. 81 applies to vertical agreements</p> <p>- an absolute territorial protection (exclusive distribution +++) restricts competition by object</p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="6" Dirty="0000000000000001" CX="13.737030029296875" CY="-31.22918701171875"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="kLjctX/sgUCBMvUq9xI5MA==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="STM v. Maschinenbau Ulm C-56/65" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="exclusive distribution in itself is not prohibited, but may be because of a &lt;br&gt;particular factual situation or of the severity of the clauses protecting the &lt;br&gt;exclusive dealership. (see Consten and Grundig)&lt;br&gt;&lt;br&gt;&lt;br&gt;&lt;br&gt;In order that an agreement may affect trade between Member States it must be &lt;br&gt;possible to foresee with a sufficient degree of probability on the basis of a &lt;br&gt;set of objective factors of law or of fact that the agreement in question may &lt;br&gt;have an influence, direct or indirect, actual or potential, on the pattern of &lt;br&gt;trade between Member States. The influence thus foreseeable must give rise to &lt;br&gt;a fear that the realization of a single market between Member States might be..."><p><font face="Times New Roman"><span style="font-size:12pt"><b>exclusive distribution</b> in itself is not prohibited, but may be because of a particular factual situation or of the severity of the clauses protecting the exclusive dealership. (see Consten and Grundig)</span></font></p> <p><br></br> </p> <p><font face="Times New Roman"><span style="font-size:12pt">In order that an <b>agreement may affect trade between Member States</b> it must be possible to foresee with a sufficient degree of probability on the basis of a set of objective factors of law or of fact that the agreement in question may have an influence, direct or indirect, actual or potential, on the pattern of trade between Member States. The influence thus foreseeable must give rise to a fear that the realization of a single market between Member States might be impeded. In this respect, it is necessary to consider in particular whether the agreement is capable of bringing about a partitioning of the market in certain products between Member States.</span></font></p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="5" Dirty="0000000000000001" CX="40.72454833984375" CY="2.372894287109375"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="M+McT0gjJE6yhV2Nr1KGUQ==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="Delimitis v. Henninger Bräu C-234/89" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Exclusive purchasing agreements - cumulative anticompetitive effect of similar &lt;br&gt;vertical agreements in a market&lt;br&gt;&lt;br&gt;&lt;br&gt;&lt;br&gt;An agreement is prohibited by Article 81(1) if two cumulative conditions are &lt;br&gt;met:&lt;br&gt;&lt;br&gt;1. Having regard to the economic and legal context of the agreement at issue, &lt;br&gt;it is difficult for competitors who could enter the market or increase their &lt;br&gt;market share to gain access to the market. The fact that, in that market, the &lt;br&gt;agreement in issue is one of a number of similar agreements having a &lt;br&gt;cumulative effect on competition constitutes only one factor amongst others in..."><p style="margin-left:4mm; margin-right:0mm; text-indent:0mm;"><font face="Tahoma"><span>Exclusive purchasing agreements - <b>cumulative anticompetitive effect</b> of similar vertical agreements in a market</span></font></p> <p style="margin-left:4mm; margin-right:0mm; text-indent:0mm;"><br></br> </p> <p style="margin-left:4mm; margin-right:0mm; text-indent:0mm;"><font face="Tahoma"><span>An agreement is prohibited by Article 81(1) if two cumulative conditions are met:</span></font></p> <p style="margin-left:4mm; margin-right:0mm; text-indent:0mm;"><font face="Tahoma"><span>1. Having regard to the economic and legal context of the agreement at issue, it is difficult for competitors who could enter the market or increase their market share to gain access to the market. The fact that, in that market, the agreement in issue is one of a number of similar agreements having a cumulative effect on competition constitutes only one factor amongst others in assessing whether access to that market is indeed difficult. </span></font></p> <p style="margin-left:4mm; margin-right:0mm; text-indent:0mm;"><font face="Tahoma"><span>2. The agreement in issue must make a significant contribution to the sealing-off effect brought about by the totality of those agreements in their economic and legal context. The extent of the contribution made by the individual agreement depends on the position of the contracting parties in the relevant market and on the duration of the agreement. </span></font></p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="4" Dirty="0000000000000001" CX="30.405792236328125" CY="30.154144287109375"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="XZkmaT3tpku0lRxX0m93Lg==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="Metro v. COM Case 26/76" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Selective distribution systems constitute, together with others, an aspect of &lt;br&gt;competition which accords with Article 85 (1), provided that resellers are &lt;br&gt;chosen on the basis of objective criteria of a qualitative nature relating to &lt;br&gt;the technical qualifications of the reseller and his staff and the suitability &lt;br&gt;of his trading premises and that such conditions are laid down uniformly for &lt;br&gt;all potential resellers and are not applied in a discriminatory fashion."><p><font face="Times New Roman"><span style="font-size:12pt"><b>Selective distribution systems</b> constitute, together with others, an aspect of competition which accords with Article 85 (1), provided that <i>resellers are chosen on the basis of objective criteria of a qualitative nature relating to the technical qualifications of the reseller and his staff and the suitability of his trading premises and that such conditions are laid down uniformly for all potential resellers and are not applied in a discriminatory fashion.</i></span></font></p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="3" Dirty="0000000000000001" CX="-6.37127685546875" CY="37.827072143554687"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="fHSkRTZiuUSDhpS/a99uKw==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="ADALAT Case C - 2 and 3/01 P, VW (Passat) C-74/04 P" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Concept of agreement: meeting of minds, concurrence of wills"><p>Concept of agreement: meeting of minds, concurrence of wills </p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="0" Dirty="0000000000000001" CX="-38.915023803710937" CY="16.39581298828125"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="3lz0dRMbBEuREFKfWt11qg==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="Viho v. COM (Parker Pen) Case C-73/95 P" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Para 51: single economic unit&lt;br&gt;&lt;br&gt;&quot;Where, as in this case, the subsidiary, although having a separate legal &lt;br&gt;personality, does not freely determine its conduct on the market but carries &lt;br&gt;out the instructions given to it directly or indirectly by the parent company &lt;br&gt;by which it is wholly controlled, Article 85(1) does not apply to the &lt;br&gt;relationship between the subsidiary and the parent company with which it forms &lt;br&gt;an economic unit.&quot;"><p>Para 51:<font face="Arial Baltic"><span><b> single economic unit</b></span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">"Where, as in this case, the subsidiary, although having a separate legal personality, does not freely determine its conduct on the market but carries out the instructions given to it directly or indirectly by the parent company by which it is wholly controlled, Article 85(1) does not apply to the relationship between the subsidiary and the parent company with which it forms an economic unit."</span></font></p> </ap:NotesXhtmlData></ap:NotesGroup><ap:Offset OffsetPriority="1" Dirty="0000000000000001" CX="-37.592117309570313" CY="-5.829193115234375"></ap:Offset></ap:Topic><ap:Topic Dirty="0000000000000001" OId="WeQ32Nf0v0ehF14qWhqyjg==" Gen="0000000000000000"><ap:TopicViewGroup ViewIndex="0"><ap:Collapsed Collapsed="true" Dirty="0000000000000001"></ap:Collapsed></ap:TopicViewGroup><ap:Text Dirty="0000000000000001" PlainText="Javico v. Yves Saint Laurent Parfums C-306/96" ReadOnly="false"><ap:Font Size="12."></ap:Font></ap:Text><ap:NotesGroup><ap:NotesXhtmlData Dirty="0000000000000001" PreviewPlainText="Extra-Community distribution agreements&lt;br&gt;&lt;br&gt;A distribution agreement in which the reseller gives to the producer an &lt;br&gt;undertaking that he will sell the contractual products on a market outside the &lt;br&gt;Community cannot be regarded as having the object of appreciably restricting &lt;br&gt;competition within the Common Market or as being capable of affecting, as &lt;br&gt;such, trade between Member States. Consequently, such an agreement, in that it &lt;br&gt;prohibits the reseller from selling the contractual product outside the &lt;br&gt;contractual territory assigned to it, does not constitute an agreement which, &lt;br&gt;by its very nature, is prohibited by Article 85(1) E.C. Similarly, provisions &lt;br&gt;of such an agreement in that they prohibit direct sales within the Community..."><p><font face="Times New Roman"><span style="font-size:12pt"><b>Extra-Community distribution agreements</b></span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">A distribution agreement in which the reseller gives to the producer an undertaking that he will sell the contractual products on a market outside the Community cannot be regarded as having the object of appreciably restricting competition within the Common Market or as being capable of affecting, as such, trade between Member States. Consequently, such an agreement, in that it prohibits the reseller from selling the contractual product outside the contractual territory assigned to it, does not constitute an agreement which, by its very nature, is prohibited by Article 85(1) E.C. Similarly, provisions of such an agreement in that they prohibit direct sales within the Community and re-exports of the contractual product to the Community cannot be contrary by their very nature to Article 85(1). [20]-[21]</span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">effects analysis needed.</span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">Appraisal of the effect of those agreements necessarily implies taking account of their economic and legal context and, in particular, where this is the case, the fact that the producer has established in the Community a selective distribution system enjoying an exemption. In that regard the following factors must be taken into account: </span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">    (a) whether the structure of the Community market in the relevant products is oligopolistic, allowing only limited competition within the Community network for the distribution of those products; </span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">    (b) whether there is an appreciable difference between the prices of the contractual products charged in the Community and those charged outside the Community, although such a difference is not liable to affect competition if it is eroded by the level of customs duties and transport costs resulting from the export of the product to a non-member country followed by its reimport into the Community.</span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt"><br></br> </span></font></p> <p><font face="Times New Roman"><span style="font-size:12pt">  If, accordingly, the agreements had the effect of undermining competition within the meaning of Article 85(1) it would be necessary to determine whether, having regard to the producer's position on the Community market and the extent of its production and its sales in the Member States, the contested provisions designed to prevent direct sales of the contractual products in the Community and re-exports of them to the Community entail any risk of an appreciable effect on the pattern of trade between the Member States such as to undermine the attainment of the objectives of the Common Market. This cannot be the case if the products intended for markets outside the Community account for only a very small percentage of the total market for those products in the territory of the Common Market. 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