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European Commission to Launch a Market Sector Inquiry Into E-Commerce

Client Alert | 2 min read | 04.27.15

The European Commissioner, Margrethe Vestager, has announced that it intends to launch a sector inquiry on e-commerce in May this year. The "Digital Single Market" is one of the top priorities of the Juncker's Commission and, hence, competition enforcement in the Single Digital Market is also a priority for Commissioner Vestager. As previously done for the energy, food and pharmaceutical sectors, a market inquiry is a fact-finding exercise to help the Commission identify potential areas of concern in terms of competition law enforcement. In this case, the European Commission intends to focus on potential restrictions or distortions in online commerce.

We understand that the market inquiry will focus on distribution agreements, with particular regard to pricing, but geo-blocking and any other clauses restricting online cross-border trade of consumer products will also be targeted. Any company operating in the online sphere, in any sector whatsoever, is likely to receive a questionnaire from the Commission. This includes manufacturers, merchants of goods sold on line, companies that run online platforms, as well as holders of content rights and broadcasters. Based on the results of the inquiry, the Commission will determine whether further action is required and if so, which measures to take. Therefore, we recommend that companies respond to the Commission's questionnaire within the given timeframe.


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Client Alert | 4 min read | 08.13.26

Supreme Court Confirms Contractual Loss of Bargain Without Repudiatory Breach

English law has long treated the choice between terminating for repudiatory breach and exercising a contractual termination right as consequential. Under the Financings[1] causation principle, a party exercising a contractual right for a non-repudiatory breach could recover losses accrued to the date of termination — but nothing more. Loss of bargain was out of reach unless the breach went to the root of the contract. A practical workaround, confirmed in Lombard,[2] was to designate the relevant obligation as a condition, elevating any breach to repudiatory status, but that device carries significant strategic risk if the termination is later found to have been wrongful....