France, 2005

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Some French competition law is codified in provisions of the code de la consommation (consumer code).[1] The majority is contained in Livre (book) IV of the Code de commerce (commercial code).[2][3][4] Unless otherwise specified, all provisions cited refer to the Code de commerce.

Score = 24

Category Subcategory Score Comment
Scope Extraterritoriality 1 Article L.420-1 extends the scope of the act outside of France in limited circumstances.
Remedies Fines 1 Article L.420-6 allows for fines for violations of competitive practices. Article L.430-8 allows for fines for improper merger.
Prison Sentences 1 Article L.420-6 allows for prison sentences of up to four years for violations of the competition statute.
Divestitures 0
Private Enforcement 3rd Party Initiation 1 Article L.440-1 allows third parties to initiate proceedings.
Remedies Available to 3rd Parties 1 Article L.442-6 establishes liability for a small set of competition violations.
3rd Party Rights in Proceedings 0
Merger Notification Voluntary 0
Mandatory 3 Article L.430-2 requires that large companies get government approval before or when they merge.
Pre-merger 2 Article L.430-2 requires that large companies get government approval before or when they merge. However, article L. 430-4 allows companies to merge while awaiting approval under urgent circumstances.
Post-merger
Merger Assessment Dominance 1 Article L.430-6 requires consideration of dominance as part of the decision whether to grant a merger.
Restriction of Competition 1 Article L.430-6 requires consideration of the effects on competition as part of the decision whether to grant a merger.
Public Interest (Pro D) 1 Art. L.430-6 requires consideration of public public interest, especially with regard to international competitors, when deciding whether to permit a merger.
Public Interest (Pro Authority) 0
Other 0
Efficiency 1 Article L.430-6 allows consideration of
Dominance Limits Access 0
Abusive Acts 1 Article 8 prohibits abusive exploitation by a dominant enterprise.
Price Setting 1 Article 8 applies the restriction on price setting as established in Article 7 to dominant companies.
Discriminatory Pricing 1 Article 8 bans discriminatory pricing by dominant companies.
Resale Price Maintenance 1 Article 32 bans RPM when the distributor sets a minimum price (but not for setting a max price)
Obstacles to Entry 0
Efficiency Defense 1 Article 10(2) offers a defense for showing that the effect of the acts if they ensure economic progress.
Restrictive Trade Practices Price Fixing 1 Article 7(2) prohibits price fixing.
Tying 1 Article 8 prohibits tying arrangements.
Market Division 1 Article 7(4) prohibits allocating markets or sources of supply.
Output Restraint 1 Article 7(3) prohibits limiting or controlling production.
Market Sharing 1 Article 7(4) prohibits allocating markets or sources of supply.
Eliminating Competitors 1 Article 7(1) prohibits agreements that limits access to the market or free exercise of competition by other enterprises.
Collusive Tendering/Bid-Rigging 0
Supply Refusal 1 Article 8 prohibits refusing to sell.
Efficiency Defense 1 Article 10 exempts for Article 7 and 8 agreements that have the effect of ensuring economic progress.

References

  1. Available in French at http://www.legifrance.gouv.fr/affichCode.do?cidTexte=LEGITEXT000006069565&dateTexte=20080624
  2. most recent version of the commercial code available in French at http://www.legifrance.gouv.fr/affichCode.do?dateTexte=20080624&cidTexte=LEGITEXT000005634379&fastReqId=239729146&fastPos=6&oldAction=rechCodeArticle
  3. Limited English version available at http://195.83.177.9/code/liste.phtml?lang=uk&c=32&r=3094
  4. The French Commercial Code in English 2005, Philip Raworth translator, 2005, Dobbs Ferry, NY, Oceana Publications, Inc.


References