Private Damages Actions in EU Competition Law and Restorative Justice: Towards a New Streamlined Institutional Framework?

Main Article Content

Pieter Van Cleynenbreugel
https://orcid.org/0000-0001-7388-6883

Abstract

The transposition of Directive 2014/104 on private damages actions marks an important development in the setting up of a harmonised private competition law enforcement regime across different EU Member States. Coupled with deterrence-focused public enforcement, the European Union has taken a necessary and welcomed step towards enhancing justice for all those individuals and competitors damaged by competition law infringements. This article argues, however, that the current emphasis on balancing public and private enforcement of the European Commission focuses too little on the need and healing effects of restoration. At the same time, the Directive contains a promising restorative justice opening by virtue of its Article 18. Starting from that opening, the article will propose a more developed way forward, taking the form of the setup and development of so-called antitrust “trust funds”. Exploring the legal possibilities and limits of such funds, the article questions to what extent this approach could be a useful complementary way to overcome the limits identified. It will be submitted that, although it is legally possible to set up those trust funds under EU law, important practical questions have to be addressed prior to doing so. Having outlined the potential features and limits of this approach, the article additionally calls for more and comparative research to be performed in this area.

Keywords: EU competition law, Private enforcement, Directive 2014/104, Restorative justice, Collective actions

Downloads

Download data is not yet available.

References

American Bar Association. Antitrust Class Actions Handbook, Second Edition. Washington: ABA Publishing, 2018.

Androff, David K. “Reconciliation in a community-based restorative justice intervention”. Journal of Sociology and Social Welfare 39, no. 4 (2012): 73-96.

Aristotle. Nicomachean Ethics, Book IV. Available in English at http://classics.mit.edu/Aristotle/nicomachaen.4.iv.html.

Ashton, David and David Henry. Competition Damages Actions in the EU. Cheltenham: Edward Elgar, 2013.

Bernitz, Ulf. “Introduction to the Directive on Competition Damages Actions”. In Harmonising EU Competition Litigation: The New Directive and Beyond, edited by Maria Bergström, Magnus Strand and Marios Iacovides, 3-15. Oxford: Hart, 2016.

Biffi, Emmanuela and Tim Chapman. Restorative Justice Responses to Conflicts in Intercultural Settings: Practice Guidelines. Leuven: European Forum for Restorative Justice, 2015. http://alternativefilms.euforumrj.org/e-books/.

Borger, Vestert. The Transformation of the Euro: Law, Contract, Solidarity. Leiden University, PhD thesis, 2018.

Braithwaite, John. “The fundamentals of restorative justice”. In A Kind of Mending: Restorative Justice in the Pacific Islands, edited by Sinclair Dinnen, Anita Jowitt and Tess Newton, 35-43. Canberra: ANU Press, 2003.

Braithwaite, John. Restorative Justice and Responsive Regulation. Oxford: Oxford University Press, 2002.

Braithwaite, John. “Restorative justice for banks through negative licensing”. British Journal of Criminology 49, no. 4 (2009): 439-450.

Braithwaite, John and Heather Strang. “Restorative justice and family violence”. In Restorative Justice and Family Violence, edited by John Braithwaite and Heather Strang, 1-22. Cambridge: Cambridge University Press, 2002.

Brickhouse, Thomas C. “Aristotle on corrective justice”. The Journal of Ethics 18, no. 3 (2014): 187-205.

Cauffman, Caroline. “Access to leniency-related documents after Pfleiderer”. World Competition 34, no. 4 (2011): 597-615.

Cauffman, Caroline. “The impact of voidness for infringement of Article 101 TFEU on related contracts”. European Competition Journal 8, no. 1 (2012): 95-122.

Chamon, Merijn. EU Agencies. Legal and Political Limits to the Transformation of the EU Administration. Oxford: Oxford University Press, 2016.

Chroust, Anton-Hermann and David L. Osborn. “Aristotle’s conception of justice”. Notre Dame Law Review 17, no. 2 (1942): 129-143.

De Witte, Bruno. “Responses and the EU legal order: Increased institutional variation or constitutional mutation?”. European Constitutional Law Review 11, no. 3 (2015): 434-457.

Dunne, Niamh. “Courage and compromise: The directive on antitrust damages”. European Law Review 40, no. 4 (2015): 581-587.

Fabbrini, Federico. Economic Governance in Europe. Comparative Paradoxes and Constitutional Challenges. Oxford: Oxford University Press, 2016.

Frese, Michael. Sanctions in EU Competition Law: Principles and Practice. Oxford: Hart, 2016.

García Valdecasas, Rafael and Aitor Montesa Lloreda. “A new life for commitment decisions under Article 9 of Regulation 1/2003? The aftermath of the ECJ Judgment of 29 June 2010 in Case C-441/07P, Commission v. Alrosa”. In Today’s Multi-Layered Legal Order: Current Issues and Perspectives, edited by Tristan Baumé, Edmon Oude Elferink, Pauline Phoa and Dominique Thiaville, 97-114. Paris: Zutphen, 2011.

Gautier, Axel and Nicolas Petit. “Optimal enforcement of competition policy: The commitments procedure under uncertainty”. https://ssrn.com/abstract=2509729.

Geradin, Damien and David Henry. “The EC fining policy for violations of competition law: An empirical review of the Commission Decisional Practice and the Community Courts’ judgments”. European Competition Journal 1, no. 2 (2005): 401-473.

Havu, Katri. “Fault in EU competition law damages claims”. Global Competition Litigation Review 8, no. 1 (2015): 1-13.

Havu, Katri. “Full, adequate and commensurate compensation for damages under EU law: A challenge for national courts?”. European Law Review 43, no. 1 (2018): 24-46.

Hjärtstrom, Max and Julian Nowag. “EU competences and the Damages Directive: The continuum between minimum and full harmonisation”. In EU Competition Litigation: Transposition and First Experiences of the New Regime, edited by Magnus Strand, Vladimir Bastidas and Marios Iacovides, 3-18. Oxford: Hart, 2019.

Henriksson, Lars. “Private enforcement of public law – an inconsistent approach to remedies?”. In EU Competition Litigation: Transposition and First Experiences of the New Regime, edited by Magnus Strand, Vladimir Bastidas and Marios Iacovides, 79-95. Oxford: Hart, 2019.

Hensler, Deborah. “Can private class actions enforce marketplace regulations? Do they? Should they?”. In Comparative Law and Regulation – Understanding the Global Regulatory Process, edited by Francesca Bignami and David Zaring, 238-272. Cheltenham: Edward Elgar, 2016.

Hodges, Christopher. The Reform of Class and Representative Actions in European Legal Systems. A New Framework for Collective Redress in Europe. Oxford: Hart, 2008.

Johnston, Jennifer. “Cy pres comme possible to anything is possible: How cy pres creates improper incentives in class action settlements”. Journal of Law, Economics & Policy 9 (2013): 277-304.

Juska, Zygimantas. “Obstacles in European competition law enforcement: A potential solution from collective redress”. European Journal of Legal Studies 7, no. 1 (2014): 125-153.

Juska, Zygimantas. The Role of Collective Redress Actions to Achieve Full Compensation for Violations of European Union Competition Law. Leiden University PhD thesis, 2019.

Kloub, Jindrich, “White Paper on damage actions for breach of the EC antitrust rules: Plea for a more holistic approach to antitrust enforcement”. European Competition Journal 5, no. 2 (2009): 515-547.

Komninos, Assimakos. EC Private Antitrust Enforcement: Decentralised Application of EC Competition Law by National Courts. Oxford: Hart, 2008.

Landini, Sara. “Private enforcement and market regulation”. Market and Competition Law Review 2, no. 2 (2018): 47-71.

Lauwaert, Katrien. “Restorative justice in the 2012 EU Victims Directive: A right to quality service, but no right to equal access for victims of crime”. Restorative Justice 1, no. 3 (2013): 414-425.

Leskinen, Charlotte. “Collective actions: Rethinking funding and national cost rules”. Competition Law Review 8, no. 1 (2011): 87-121.

Lianos, Ioanos, Peter Davis and Paolisa Nebbia. Damages Claims for the Infringement of EU Competition Law. Oxford: Oxford University Press, 2015.

Lo Schiavo, Gianni. The Role of Financial Stability in EU Law and Policy. The Hague: Kluwer, 2017.

Maglione, Giuseppe. “Discursive fields and subject positions: Becoming ‘victim’, ‘offender’ and ‘community’ in restorative justice”. Restorative Justice 2, no. 3 (2014): 327-348.

Menkel-Meadow, Carrie. “Restorative justice: What is it and how does it work?”. Annual Review of Law and Social Science no. 3 (2007): 10.1-10.27.

Motta, Marco. “On cartel deterrence and fines in the European Union”. European Competition Law Review 29, no. 4 (2008): 209-220.

Oliveira Pais, Sofia and Anna Piszcz. “Package on Actions for damages based on breaches of EU competition rules: Can one size fit all?”. Yearbook of Antitrust and Regulatory Studies 7, no. 10 (2014): 209-234.

Oliveira Pais, Sofia. “A first look at the Portuguese Act 23/2018 transposing the Private Enforcement Directive”. In EU Competition Litigation: Transposition and First Experiences of the New Regime, edited by Magnus Strand, Vladimir Bastidas and Marios Iacovides, 63-75. Oxford: Hart, 2019.

Parker, Christine. “Restorative justice in business regulation? The Australian Competition and Consumer Commission’s use of enforceable undertakings”. Modern Law Review 67, no. 2 (2004): 204-246.

Penner, James E. The Law of Trusts. Oxford: Oxford University Press, 2019.

Piszcz, Anna. “Room for manoeuvre for Member States: Issues for decision on the occasion of the transposition of the Damages Directive”. Market and Competition Law Review 1, no. 1 (2017): 81-109.

Tyler, Tom. “Restorative justice and procedural justice: Dealing with rule breaking”. Journal of Social Issues 62 (2006): 307-326.

Spalding, Andrew Brady. “Restorative justice for multinational corporations”. Ohio State Law Journal 76, no. 2 (2015): 357-408.

Strang, Heather. “Justice for victims of young offenders: The centrality of emotional harm and restoration”. In Restorative Justice for Juveniles. Conferencing, Mediation and Circles, edited by Allison Morris and Gabrielle Maxwell, 183-193. Oxford: Hart, 2001.

Van Cleynenbreugel, Pieter. “Sharing powers within exclusive competences: Rethinking EU antitrust law enforcement”. Croatian Yearbook of European Law and Policy 12 (2016): 49-79.

Van Cleynenbreugel, Pieter. “Embedding procedural autonomy: The Directive and national procedural rules”. In Harmonising EU Competition Litigation: The New Directive and Beyond, edited by Maria Bergström, Magnus Strand and Marios Iacovides, 99-119. Oxford: Hart, 2016.

Van Cleynenbreugel, Pieter. “The presumption of harm and its implementation in the Member States’ legal orders”. In EU Competition Litigation: Transposition and First Experiences of the New Regime, edited by Magnus Strand, Vladimir Bastidas and Marios Iacovides, 201-214. Oxford: Hart, 2019.

Völcker, Sven. “Case C-360/09, Pfleiderer AG v. Bundeskartellamt, Judgment of the Court of Justice (Grand Chamber) of 14 June 2011, nyr”. Common Market Law Review 49 (2012): 695-720.

Weinrib, Ernest J. “Corrective justice in a nutshell”. The University of Toronto Law Journal 52, no. 2 (2002): 349-356.

Wemmers, Jo-Anne. “Restorative justice for victims of crime: A victim-oriented approach to restorative justice”. International Review of Victimology 9 (2002): 43-59.

Wilman, F. “The end of the absence? The growing body of EU legislation on private enforcement and the main remedies it provides for”. Common Market Law Review 53, no. 4 (2016): 887-935.

Wils, Wouter PJ. “Private enforcement of EU antitrust law and its relationship with public enforcement: Past, present and future”. World Competition 40, no. 1 (2017): 3-45.

Yeung, Karen. Securing Compliance: A Principled Approach. Oxford: Hart, 2004.

Zehr, Howard. Changing Lenses: Restorative Justice for Our Times, Second Edition. Harrisonsburg: Herald Press, 2015.