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European Court Ruling May Reinvigorate Enforcement Against Excessive Pricing

Philipp Werner et al., Jones Day Commentary, October 2017

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The European Court of Justice recently provided widely anticipated guidance on the concept of excessive pricing, clarifying the use of key legal criteria in identifying an excessive pricing abuse under Article 102 TFEU.

The ECJ confirmed the methodology adopted by the Latvian Competition Council in a national excessive pricing case, establishing that the only condition for a finding of excessive pricing is that the rate difference must be significant and persistent.

The ruling will be of significant value in various ongoing EU and national excessive pricing investigations, and it lays the groundwork for future investigations.

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