European Commission Imposes € 38 Million Fine On E.ON For Breach Of A Seal During An Inspection
Client Alert | 1 min read | 01.30.08
The European Commission (“Commission”) has imposed a fine of € 38 million on E.ON Energie AG (“E.ON”) for the breach of a Commission seal in E.ON’s premises during an inspection. The seal had been affixed to secure documents collected in the course of an unannounced inspection in May 2006. When the Commission came back the next day, the seal was broken. The inspection formed part of the Commission's enforcement activities against allegations of anti-competitive practices on the German energy markets.
The use of seals is intended to prevent the possibility of evidence being lost during an inspection, thus undermining the effectiveness of the inspection. Breaches of seals are therefore a serious infringement of competition law. In regard to the level of the fine, Council Regulation 1/2003 (Article 23(1) (e)) provides that the Commission can impose a fine of up to 1% of the company's total turnover for a seal broken intentionally or negligently. The European Commission claims, however, that when fixing the amount of the fine it has taken into account the fact that it was the first time that a seal has been broken by a company subject to an inspection and that a fine has been imposed under the provisions of Regulation No. 1/2003 concerning obstruction or interference with a Commission anti-trust investigation.
Click here to read the Commission’s press release as well as answers to frequently asked questions.
Insights
Client Alert | 13 min read | 10.30.25
Federal and State Regulators Target AI Chatbots and Intimate Imagery
In the first few years following the public launch of generative artificial intelligence (AI) in the autumn of 2022, litigation related to AI focused primarily on claims of copyright infringement. Suits revolved around allegations that the data on which AI models train, and/or the output they produce, infringe upon the intellectual property rights of others. (While some of these cases have settled or reached preliminary judgments, many remain ongoing.)
Client Alert | 3 min read | 10.30.25
Is Course Hero Heading to Summer School After Summary Judgment Loss?
Client Alert | 6 min read | 10.29.25
Enhancing UK cyber security resilience and leadership engagement
Client Alert | 9 min read | 10.28.25
Key Takeaways from a Consequential Month of Russia-Related Sanctions
