General Issues

Abstract

Abstract This chapter studies the scope of the Merger Control Regulation. Council Regulation (EC) 139/2004 on the control of concentrations between undertakings (Merger Control Regulation or MCR) sets out a common merger control in all Member States of the European Union. It is based on the necessity of ensuring that corporate transactions do not distort competition between undertakings, while ensuring a level playing field between undertakings operating in the different Member States. In parallel to the Merger Control Regulation, Article 57 of the Agreement on the European Economic Area (EEA Agreement) extends the merger control regime to the geographic ambit of the European Economic Area. Under the EEA Agreement, if a concentration meets the turnover thresholds of the Merger Control Regulation, the European Commission has sole competence to decide on the concentration. Concentrations with an ‘EFTA [European Free Trade Association] dimension’ as defined in Article 57 of the EEA Agreement and not having an EU dimension are dealt with by the EFTA Surveillance Authority (ESA). However, to date, no such concentrations have been notified to the EFTA Surveillance Authority. Where the Commission handles cases as a consequence of its competence under the EEA Agreement, ESA and the competition authorities of the EFTA States are involved in the proceedings.