ECJ rules on smart chips cartel appeals

The ECJ has ruled in appeals by Infineon and Philips against the General Court judgments that rejected their challenges to the European Commission's 2014 infringement decision on the smart card chips cartel.

The ECJ dismissed claims by both appellants that the General Court had erred in its application of Article 101(1) TFEU relating to its finding of a restriction of competition by object.

As to Infineon, the ECJ found that the limited review by the General Court of only five of the 11 contacts found by the Commission to be illegal was justified but it held that the extent of Infineon’s participation should have been taken into account when determining gravity and the resulting fine.

The ECJ set aside the judgment against Infineon and has referred it back to the General Court to assess the proportionality of the fine.  If necessary, the General Court must examine whether the Commission properly established the illegality of the six contacts which it had not examined.  The ECJ has in effect said that if factual findings are in issue the Court cannot properly make a determination as to the overall participation of the undertaking without examining that evidence.

The ECJ upheld the decision and fine against Philips in full.

 

 

Case C-99/17 - Infineon Technologies AG v Commission (ECLI:EU:C:2018:773)

Case C-98/17 - Koninklijke Philips NV and Philips France v Commission (ECLI:EU:C:2018:774)