European Union Competition Law Developments in the Aviation Sector: July to December 2021

Abstract

The second half of 2021 has seen the aviation industry continue to grapple with the impact of the on-going Coronavirus (COVID-19) pandemic, as travel restrictions and similar adjustments have been required in a number of jurisdictions. Key developments included in this article include: – A number of addressees of the European Commission’s (the ‘Commission’) air cargo cartel case, which imposed significant fines on participating airlines, have lodged claims against the Commission seeking compensation as a result of the latter’s refusal to pay interest on fines imposed which the Commission repaid to airlines following the EU court’s annulment of the original cartel decision. – The Commission has closed its investigation into Amadeus and Sabre over their contractual terms governing the distribution of airline tickets in agreements between airlines and travel agents, citing insufficient evidence that the arrangement had restricted competition; and – The seismic impact of the on-going pandemic continues to give rise to a great number of State Aid notifications to various beneficiaries in the aviation sector, with a commensurate uptick in the number of legal challenges before EU courts. As with 2020, Ryanair has continued to be particularly active in challenging these measures. This article summarizes the main developments over the past 6 months and aims to provide the reader with an overview of each of these developments. aviation, airline, regulation, competition and anti-trust