European Union law Competition law

competition law gained new recognition in europe in inter-war years, germany enacting first anti-cartel law in 1923 , sweden , norway adopting similar laws in 1925 , 1926 respectively. however, great depression of 1929 competition law disappeared europe , revived following second world war when united kingdom , germany, following pressure united states, became first european countries adopt fledged competition laws. @ regional level eu competition law has origins in european coal , steel community (ecsc) agreement between france, italy, belgium, netherlands, luxembourg , germany in 1951 following second world war. agreement aimed prevent germany re-establishing dominance in production of coal , steel felt dominance had contributed outbreak of war. article 65 of agreement banned cartels , article 66 made provisions concentrations, or mergers, , abuse of dominant position companies. first time competition law principles included in plurilateral regional agreement , established trans-european model of competition law. in 1957 competition rules included in treaty of rome, known ec treaty, established european economic community (eec). treaty of rome established enactment of competition law 1 of main aims of eec through institution of system ensuring competition in common market not distorted. 2 central provisions on eu competition law on companies established in article 85, prohibited anti-competitive agreements, subject exemptions, , article 86 prohibiting abuse of dominant position. treaty established principles on competition law member states, article 90 covering public undertakings, , article 92 making provisions on state aid. regulations on mergers not included member states not establish consensus on issue @ time.

today, treaty of lisbon prohibits anti-competitive agreements in article 101(1), including price fixing. according article 101(2) such agreements automatically void. article 101(3) establishes exemptions, if collusion distributional or technological innovation, gives consumers fair share of benefit , not include unreasonable restraints risk eliminating competition anywhere (or compliant general principle of european union law of proportionality). article 102 prohibits abuse of dominant position, such price discrimination , exclusive dealing. article 102 allows european council regulations govern mergers between firms (the current regulation regulation 139/2004/ec). general test whether concentration (i.e. merger or acquisition) community dimension (i.e. affects number of eu member states) might impede effective competition. articles 106 , 107 provide member state s right deliver public services may not obstructed, otherwise public enterprises must adhere same competition principles companies. article 107 lays down general rule state may not aid or subsidize private parties in distortion of free competition , provides exemptions charities, regional development objectives , in event of natural disaster.