Violation Of Antitrust Laws Research Articles

Legal Regulation of Digital Platforms and Antimonopoly Control: Application Practice

The article highlights some conflicts and gaps in the legal regulation of the activities of digital platforms, in particular marketplaces. Currently, in the field of e-commerce, a situation has arisen in which digital platforms (marketplaces) have ceased to play the role of exclusive information intermediaries, transmitting information about the product from the seller to the buyer with remote communication between them under sales contracts. In the doctrine of competition law, the classical approach is generally accepted, according to which an economic entity dominating a market may fall under the criteria of abuse of a dominant position. The "Fifth Antimonopoly Package" makes it possible to improve doctrinal approaches to the establishment of abuse of a dominant position by special subjects. The positions of the FAS Russia, which appeared in connection with the need to regulate complex relations to protect competition in commodity markets, where there are signs of “network effects”, have an important role for the exercise by antimonopoly authorities of powers to intersect monopolistic activities in commodity markets and the formation of a uniform approach in law enforcement practice in cases on violation of antitrust laws by owners of transactional digital platforms. New approaches to the application of relevant legal regulation, including in related markets, have been identified based on the results of an analysis of the norms of antimonopoly legislation, legislation on trading activities and specific decisions of the antimonopoly authority related to the application of Article 101 of Federal Law of 26. 07. 2024 No. 135-FZ “On Protection of Competition”.

From silence to vigilance: overcoming barriers in public reporting of bid-rigging and cartel violations

Abstract There are several ways to collect information on violations of antitrust laws, including ex officio detection, reports from the general public, and the use of leniency systems. There have been many discussions on improvements in the use of leniency systems and refining the ex officio detection method by improving the use of data by methods of analysis. However, improvements in public reporting have not often been considered. In this study, we confirm that 68.8 per cent of the general public provides information on bid-rigging and 49.6 per cent of the general public provides information on cartels, and that the reason for not providing information is the unlikelihood of success, which means a sense of powerlessness against powerful companies, followed by a feeling of lack of responsibility. Therefore, addressing that perception is the key to increasing information from the general public.

Illegal interlocks among life science company boards of directors.

Competition between life science companies is critical to ensure innovative therapies are efficiently developed. Anticompetitive behavior may harm scientific progress and, ultimately, patients. One well-established category of anticompetitive behavior is the 'interlocking directorate'. It is illegal for companies' directors to 'interlock' by also serving on the boards of competitors. We evaluated overlaps in the board membership of 2,241 public life science companies since 2000. We show that a robust network of interlocking companies is present among these firms. At any given time, 10-20 percent of board members are interlocked; the number of interlocks has more than doubled in the last two decades. Over half of these interlocked firms report over $5 million in historical revenue, exceeding a legal threshold that makes an interlocking directorate a violation of antitrust law. Those interlocks are only illegal if the companies compete, even in part. Using the disease categories for which companies have sponsored clinical trials, we discover that a few markets are responsible for a large fraction of interlocks. We show that in dozens of cases, companies share directors with the very firms they identify as their biggest competitive threats. We provide a data-driven roadmap for policymakers, regulators, and companies to further investigate the contribution of anticompetitive behavior to increased healthcare costs and to enforce the law against illegal interlocks between firms.

On the coexistence of on-exchange and OTC segments in commodity markets

The introduction of exchange trade in Russia is one of the ways to form a competitive commodity price that can act as a benchmark for the over-the-counter (OTC) segment. However, the exchange price may be subject to distortions, which may cause faults in antitrust law. Using the international commodity exchange experience, we aim to identify the risks of exchange trade arising amid the coexisting on-exchange and OTC segments. Methodologically, the paper relies on industrial organization theory and new institutional economics theory. In the research, the case study method was applied and data on the practices of commodity exchange introduced in different countries were used. As a result of the study, we have identified the risks of violating regulatory mechanisms in the market and of distorting effects on national markets, the risks in the areas of infrastructure restrictions and violations of antitrust laws, as well as the risks of price manipulation and distortion of exchange prices. We have proven that in the context of the coexistence of on-exchange and over-the-counter market segments, these risks can emerge even in cases of the successful development of global exchange trading.

Analytical Review of Court Cases Involving the Antitrust for the Second Quarter of 2023

Analysis of the legal positions of courts in cases of violation of antimonopoly legislation in terms of consideration of issues: antimonopoly control over trading, calculation of the amount of income for criminal prosecution for violation of antimonopoly legislation, provision of preferences.Purpose: formation of uniform approaches in law enforcement practice in cases of violation of antitrust laws.

The media coverage of antitrust enforcement: Evidence from Italy

This paper studies the media coverage of the antitrust proceedings completed by the Italian Antitrust Authority between 1994 and 2019. The empirical analysis considers the news on antitrust investigations published in the top Italian newspapers by circulation. The data reveal that the newspapers favor the conclusion (against the start) of proceedings, antitrust cases regarding immaterial services and investigations that establish a violation of antitrust law. In addition, the probability of media coverage increases if foreign firms are involved in cartel proceedings. While the press equally covers cartels and abuses, the imposition of unfair conditions is the most mentioned antitrust offense. These results are important for the public dimension of antitrust law and antitrust enforcement. An unbiased media coverage of antitrust enforcement can in fact foster the crucial collaboration of third parties in reporting alleged antitrust infringements. In addition, policymakers can draw crucial information from completed antitrust investigations and consider the possible regulation, deregulation or re-regulation of industries and companies frequently involved in the antitrust cases.

Monopolistic Activity and Chicane

The article deals with the origin and interpretation of the concept of chicana from French chicaner — to create difficulties; Latin aemulatio) as the most dangerous form of abuse of law.The applicability of the concept of “shikana” in the characterization of the monopolistic activities of an economic entity that occupies a dominant position in the market was assessed.It was concluded that the promotion of the principle of integrity in modern law enforcement practice is a serious challenge for lawyers specializing in cases of violation of antitrust laws.

Analytical Review of Court Cases Involving the Antitrust Authority for December 2022 and the First Quarter of 2023

Analysis of the legal positions of arbitration courts in cases of violation of antimonopoly legislation in terms of consideration of issues: antimonopoly control over trading, challenging the order to initiate a case on violation of antimonopoly legislation, returning the application for challenging the decision and the order of the antimonopoly authority in court.Purpose: formation of uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Trade Practice Rules in Competition Law

The paper is devoted to the study of trade practice rules as a way to prevent violations of antitrust laws. The author analyzes scientific and practical approaches to the definition of the concept and content of trade practice rules, as well as corporate procedures for the development and approval of the rules in question, including by business entities that occupy a dominant position in the commodity markets. Trade practice rules should be understood as a corporate document that establishes the procedure for selecting counterparties by an economic entity for concluding contracts for the supply of goods and the essential terms of such contracts in order to minimize the risks of abuse of a dominant position in the commodity market. It was revealed that trade practice rules are developed by economic entities on a voluntary basis to establish non-discriminatory conditions for interaction with counterparties and forcibly on the basis of an order from the antimonopoly authority in order to stop the abuse of a dominant position or prevent restriction of competition in transactions of economic concentration. The latest trends in the application of trade practice rules related to ensuring the priority of deliveries of goods to the domestic market and the rejection of foreign exchange indicators in the pricing of Russian goods are identified.

Analytical Review of Court Cases Involving the Antitrust Authority

Analysis of the legal positions of arbitration courts in cases of violation of antimonopoly legislation in terms of consideration of issues: control over economic concentration, administrative responsibility, creation of preferential conditions for participation in the competition, imposition of unfavorable conditions of the contract.Purpose: formation of uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Qualification of Violations of Antitrust Laws in Parallel Imports of Goods: a Comparative Legal Aspect

The practice of the antimonopoly authorities of Russia and foreign countries in relation to violations in the field of parallel imports of goods has been studied. The problems of qualification of this type of offenses (including in the law enforcement practice of a number of foreign states) in terms of vertical agreements and abuse of dominant position are identified. The authors conclude that the positions of the antimonopoly authorities of Russia and a number of foreign countries are similar on the issue of abuse of the right of legal monopolies for trademarks: a legal monopoly for trademarks should not be a basis for abuse of the right by the right holder and restriction of the possibility of free movement of goods and services marked with trademarks. According to the authors, it is advisable to use the experience of foreign countries when qualifying violations in the field of parallel imports to Russia.

Behavioral economics as a tool for adapting antitrust legislation to the digital transformation of society

Digitalization and the rapid development of society determine the need to adapt legislation and law enforcement practice to the requirements of the digital age. Antitrust policy is also changing and developing tools that allow timely response to the challenges of the digital economy. One such tool is behavioral economics, which is becoming increasingly important in today’s digital environment, and allows regulators to be flexible and contribute to the achievement of the main goals of competition law — to maintain a competitive state of the market and avoid the concentration of excessive power in the hands of one economic entity. The practice of applying behavioral economics by antitrust authorities is becoming more extensive, as there is a large pool of data in the digital environment, including information about consumers, which can be used by companies to influence users, as well as lead to unfair competition. Thus, the paper will study the issue of using behavioral economics in terms of consumer choice by antitrust authorities in order to identify possible behavioral insights of consumers that affect the correct establishment of product markets and the identification of competition law violations by companies. Applying the legal doctrinal approach, the descriptive method, and the comparative law method makes it possible to establish the issue’s relevance in different countries and the prospects and trajectories of the usage of behavioral economics in antitrust practice. As a result of the study, a global trend has been established in the application of behavioral economics by antitrust authorities both in determining the boundaries of commodity markets and in detecting violations of antitrust laws. It is concluded that the use of such a tool will continue, as it contributes to the timely adaptation of existing antitrust laws to the challenges of the digital age, contributes to the achievement of competition law goals, and creates a thriving competitive environment.

Determining the Product Boundaries of the Consumer Market in Order to Prevent Violations of Antitrust Laws

The current Procedure for analyzing the state of competition in the commodity market [10], operating on the concepts of retrospective and prospective analysis, does not note the difference between these studies, in particular when determining the product boundaries of the market and identifying interchangeable goods. The fair statement that the definition of product boundaries of the commodity market is based on the buyers’ opinion on the interchangeability of goods constituting one commodity group is not supported by a reflection of the difference in methods of identifying this opinion for retrospective and prospective periods. For any period, this type of methodology is assumed to be the same and relies heavily on the study of contractual and regulatory materials; all-Russian classifiers; commodity dictionaries or product reference books; expert opinions, since conducting consumer surveys gives reliable results for a small number of consumers, and with an increase in their number, sample surveys significantly depend on the representativeness of the sample, which, especially with an indefinite circle of people, is quite difficult to ensure. Therefore, there is always doubt that the sample produced contains all the main features of the population from which the sample is extracted, and these features are represented in approximately the same proportion or frequency as the feature appears in the population. This fully applies to the consumer market, the analysis of which during the sanctions period is becoming more and more relevant.The author points out the presence of problems related to the lack of delineation of market analysis methods in retrospective and prospective periods and proposes a solution to the problem of an adequate retrospective analysis of the state of competition arising from this circumstance, which is in demand when initiating cases on the grounds of violation of a number of norms of the Federal Law «On Protection of Competition».The author connects the ways to solve this problem with taking into account the statistical probability of purchasing goods and replacing the office analysis of interchangeability with the study of the behavior of the entire mass of buyers on the market without conducting sample surveys.This solution, as the author points out, is true only for a large number of buyers, which is quite well implemented in consumer markets.

Digital Law in the Russian Court Practice: Key Results of 2021

The development of new technologies and the subsequent digitalization of the economy significantly affect legal relations, forcing us to rethink the usual institutions and establishing new problems that have not arisen before. The legal system can change, adapt and meet new challenges in two basic and interrelated ways: regulatory (that is, the adoption of new regulatory legal acts) and in the course of judicial resolution of legal conflicts that have developed within a particular dispute. The article provides an overview of the most significant cases considered by Russian courts in the field of digital law in 2021. A selection of court decisions was carried out in four areas of emerging judicial practice: 1) use of cryptocurrencies and other electronic currencies; 2) protection of intellectual property; 3) protection of personal data and information; and 4) violation of antitrust laws. The purpose of the article is to establish the current status of the development of law enforcement in the field of digital law in Russia and to demonstrate the multidirectional nature of legal relations, which are part of the subject area of digital law as an academic discipline. As a result, the main trends in the consideration of disputes by courts over the past year are determined.

Analytical Review of Court Cases Considered with the Participation of Antimonopoly Authorities

Analysis of the legal positions of arbitration courts in cases of violation of antimonopoly laws regarding the consideration of issues: the statute of limitations for bringing to administrative responsibility, the implementation of a land plot bypassing competitive procedures, violations in digital markets, mitigating circumstances in administrative proceedings.The aim is to develop uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Analytical Review of Court Cases Considered with the Participation of Antimonopoly Authorities

Analysis of the legal positions of arbitration courts in cases of violation of antimonopoly legislation regarding the consideration of issues: the statute of limitations for bringing to administrative responsibility, the grounds for refusing to provide state preference, the consideration of complaints about the actions of bidders/operators carried out during the mandatory procedures applied in the bankruptcy case.Objective: to develop uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Review of judicial cases involving the competition authority

Analysis of the legal positions of arbitration courts in cases of violation of antitrust laws in terms of consideration of issues: exceptions to the patent monopoly, approaches to proving anticompetitive agreements, establishing the fact of being under the control of a foreign investor, abuse of dominant position, bringing to administrative responsibility in the absence of representatives of the person involved. Target: developing uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Looking back at the lawsuit that transformed the chiropractic profession part 3: Chiropractic growth.

This is the third paper in a series that explores the historical events surrounding the Wilk v American Medical Association (AMA) lawsuit in which the plaintiffs argued that the AMA, the American Hospital Association, and other medical specialty societies violated antitrust law by restraining chiropractors' business practices. The purpose of this paper is to provide a brief review of the history of the growth of chiropractic, its public relations campaigns, and infighting that contributed to the events surrounding the Wilk v AMA lawsuit. This historical research study used a phenomenological approach to qualitative inquiry into the conflict between regular medicine and chiropractic and the events before, during, and after a legal dispute at the time of modernization of the chiropractic profession. Our methods included obtaining primary and secondary data sources. The final narrative recount was developed into 8 papers following a successive timeline. This paper is the third of the series that explores the growth the chiropractic profession. By the 1930s, the AMA was already under investigation for violation of antitrust laws and the National Chiropractic Association was suggesting that the AMA was establishing a health care monopoly. Chiropractic schools grew and the number of graduates rose quickly. Public relations campaigns and publications in the popular press attempted to educate the public about chiropractic. Factions within the profession polarized around differing views of how they thought that chiropractic should be practiced and portrayed to the public. The AMA leaders noted the infighting and used it to their advantage to subvert chiropractic. Chiropractic grew rapidly and established its presence with the American public through public relations campaigns and popular press. However, infighting would give the AMA material to further its efforts to contain and eliminate the chiropractic profession.

Analytical review of judicial cases involving antitrust body

Analysis of the arbitration court’s legal positions in cases of violation of antimonopoly legislation on the following issues: limitation period for the institution of administrative proceedings for merger deals, determining the dominant position of an economic entity, court actions against, Antimonopoly service warnings, administrative fines reductions, ways of proving anti-competitive agreements. Purpose: the formation of uniform approaches in law enforcement practice in cases of violation of antitrust laws.

Review of Judicial Cases Involving the Competition Authority

Analysis of the legal positions of arbitration courts in cases of violation of antimonopoly laws in terms of consideration of issues: determination of the dominant position of an economic entity, abuse by regulated organizations, abuse of regional operators in the treatment of MSW, approaches to proving anticompetitive agreements. Target. Development of uniform approaches in law enforcement practice in cases of violation of antitrust laws.