In January 2007, Bring Citymail Danmark A/S began to deliver business mail, including direct advertising mail not covered by Post Danmark’s monopoly, but it exited the market in 2010 after suffering heavy losses.įollowing a complaint by Bring Citymail, the Konkurrencerådet found that Post Danmark abused its dominant position on the market for the distribution of bulk mail by applying rebates that effectively tied customers and foreclosed the market. To offset the universal service obligation and the uniform tariff scheme to which it was subject, Post Danmark had a statutory monopoly on the distribution of letters, including, in the case of bulk mail, direct advertising mail weighing up to 50 grams. In January 2014, the ECJ received a request for a preliminary ruling from the Sø- og Handelsretten (Denmark), in proceedings between Post Danmark A/S and the Konkurrencerådet concerning a retroactive rebate scheme Post Danmark implemented in 20, when Post Danmark was controlled by the Danish State. The background of the case, and the Court’s analysis are summarized below. The Court’s Post Danmark decision confirms that companies potentially holding a dominant position in EU market(s) need to be very careful in designing rebate schemes, even if such schemes appear to have no appreciable effect on competition.
The Court also confirmed that there is no de minimis or appreciability requirement for the finding of an abuse of a dominant position. To the disappointment of many, the Court rejected Post-Danmark’s argument that the Konkurrencerådet should have applied the so-called as-efficient-competitor test and endorsed a more formalistic, traditional approach to the assessment of rebate schemes.
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The case is another significant milestone in a series of cases on the role of economic analysis in abuse-of-dominance cases under EU law. Personal data processing and terms of useįor complete information about personal data processing and terms of use see our privacy policy.On 6 October 2015, the European Court of Justice (the Court) issued its preliminary ruling in Post Danmark A/S v Konkurrencerådet (Competition Council) 1, which concerns the antitrust treatment of a retroactive rebate scheme in the market for the distribution of bulk mail. Tracking cookies associated with social pluginsĮmbedding social plugins often results in cookies from such embedding being saved by providers. child pages visited, specified search terms). We use analysis cookies to be able to perform statistical analyzes of our users’ browsing habits (e.g. We also use cookies on our website which make it possible to analyze users’ surfing habits. Some parts of our website require that the browser that accesses the page can also be identified after you browse to another page. We use cookies to make our website more user-friendly and to measure and analyze the use of our website. What cookies do we use and for what purposes? It is possible to completely refuse cookies, which especially includes suppliers in the USA, by clicking on the following link: ĭetailed information about cookies can be found on the following user portal:
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