The Interface Between Competition Law and Private Law: Article 81, Illegality and Unjustified Enrichment

Abstract

Private enforcement through private party litigation is to play a central role in the enforcement of the European Community competition rules. However, there has so far been little case-law in the national courts to explore in detail the range of issues concerning the award of remedies for breach of the competition rules, principally arts 81 and 82 of the EC Treaty. This article considers the particular position of a cocontractor seeking to claim damages in unjustified enrichment in respect of a contract which is prohibited by art 81 and illegal. The Scots law position on the general question of recovery of damages with regard to an illegal contract is discussed, together with some recent English cases involving a breach of art 81. The article looks at the development of Community jurisprudence laying down the requirement for national courts to provide legal redress and to ensure the effectiveness of Community law. Finally, it considers the recent ruling by the European Court of Justice in Courage v Crehan on a reference from the Court of Appeal.