JUDGMENT OF THE COURT OF FIRST INSTANCE (Second Chamber)
25 May 2000 (1)
(Competition - Rejection of a complaint - Community interest - Appeal - Case referred back by the Court of Justice)
In Case T-77/95,
Union Française de l'Express (Ufex), formerly Syndicat Français de l'Express International (SFEI), established in Roissy-en-France, France,
DHL International, established in Roissy-en-France,
Service CRIE, established in Paris, France,
May Courier, established in Paris,
represented by E. Morgan de Rivery, of the Paris Bar, and J. Derenne, of the Brussels and Paris Bars, with an address for service in Luxembourg at the Chambers of A. Schmitt, 7 Val Sainte-Croix,
applicants,
v
Commission of the European Communities, represented by R. Lyal, of its Legal Service, acting as Agent, assisted by J.-Y. Art, of the Brussels Bar, with an address for service in Luxembourg at the office of C. Gómez de la Cruz, of its Legal Service, Wagner Centre, Kirchberg,
defendant,
APPLICATION for annulment of Commission Decision SG (94) D/19144 of 30 December 1994 rejecting the complaint of 21 December 1990 by Syndicat Français de l'Express International,
THE COURT OF FIRST INSTANCE
OF THE EUROPEAN COMMUNITIES (Second Chamber),
composed of: J. Pirrung, President, R.M. Moura Ramos and A.W.H. Meij, Judges,
Registrar: B. Pastor, Principal Administrator,
having regard to the written procedure and further to the hearing on 9 February 2000,
gives the following
Facts of the case and the previous procedure
'The Commission refers to your complaint dated 21 December 1990, to which was annexed a copy of a separate complaint made to the French Conseil de la Concurrence (Competition Council) on 20 December 1990. Both complaints concerned the international express services of the French postal administration.
On 28 October 1994 the Commission sent you a letter under Article 6 of Regulation No 99/63 stating that the evidence collected in the investigation of the case did not enable the Commission to give a favourable answer to your complaintin so far as it concerned Article 86 of the Treaty, and inviting you to submit your comments on the point.
In your comments of 28 November 1994 you maintained your position with regard to the abuse of dominant position by La Poste and SFMI.
In the light of those comments, the Commission informs you by this letter of its final decision regarding your complaint of 21 December 1990 with respect to the initiation of proceedings under Article 86.
The Commission considers, for the reasons set out in its letter of 28 October 1994, that there is insufficient evidence in the present case showing that alleged infringements are continuing for it to be able to give a favourable answer to your complaint. In this respect, your comments of 28 November do not add any further evidence which might allow the Commission to alter that conclusion, which is supported by the grounds stated below.
First, the Green Paper on postal services in the single market and the Guidelines for the development of Community postal services (COM (93) 247 final of 2 June 1993) address inter alia the principal problems raised in SFEI's complaint. Although those documents contain only proposals de lege ferenda, they must be taken into consideration in particular in assessing whether the Commission is making appropriate use of its limited resources, especially whether they are being put to use in developing a regulatory framework concerning the future of the postal services market rather than investigating on its own initiative alleged infringements which have been reported to it.
Second, following an investigation carried out under Regulation No 4064/89 into the joint venture (GD Net) set up by TNT, La Poste and four other postal administrations, the Commission published its decision of 2 December 1991 in case IV/M.102. By its decision of 2 December 1991 the Commission decided not to oppose the concentration notified and to declare it compatible with the common market. It emphasised in particular that, with respect to the joint venture, the proposed transaction did not create or strengthen a dominant position which might significantly hinder competition within the common market or in a substantial part of it.
Some essential points of the decision related to the possible impact of the activities of the former SFMI on competitors: SFMI's exclusive access to La Poste's facilities had been reduced in scope and was to end two years after completion of the merger, thus distancing it from any subcontracting activity of La Poste. Any access facility lawfully granted by La Poste to SFMI had likewise to be offered to any other express operator with whom La Poste signed a contract.
That outcome matches the proposed solutions for the future which you submitted on 21 December 1990. You asked for SFMI to be ordered to pay for PTT servicesat the same rate as if it was buying them from a private company, if SFMI chose to continue using those services; for all aid and discrimination to be put an end to; and for SFMI to adjust its prices according to the real value of the services provided by La Poste.
Consequently, it is clear that the problems you refer to in relation to present and future competition in the international express mail sector have been adequately resolved by the measures taken so far by the Commission.
If you consider that the conditions imposed on La Poste in case IV/M.102 have not been complied with, in particular in the field of transport and advertising, it is then for you to provide - as far as possible - evidence, and possibly to bring a complaint on the basis of Article 3(2) of Regulation No 17. However, statements that at present the tariffs (excluding possible rebates) applied by SFMI remain substantially lower than those of the members of SFEI (page 3 of your letter of 28 November) or Chronopost is advertised on P&T lorries (report annexed to your letter) must be supported by evidence to justify an investigation by the Commission.
The Commission's actions under Article 86 of the Treaty are aimed at maintaining genuine competition in the internal market. In the case of the Community market in international express services, having regard to the significant development described above, new information on any infringements of Article 86 would have to be supplied for the Commission to be able to justify investigating those activities.
Moreover, the Commission considers that it is not obliged to examine possible infringements of the competition rules which have taken place in the past, if the sole purpose or effect of such an investigation is to serve the individual interests of the parties. The Commission sees no interest in embarking on such an investigation under Article 86 of the Treaty.
For the above reasons, I inform you that your complaint is rejected.
'[B]y holding, without ascertaining that the anti-competitive effects [of the practices of La Poste complained of] had been found not to persist and, if appropriate, had been found not to be such as to give the complaint a Community interest, that the investigation of a complaint relating to past infringements did not correspond to the task entrusted to the Commission by the Treaty but served essentially to make it easier for the complainants to show fault in order to obtain damages in the national courts, the Court of First Instance took an incorrect view of the Commission's task in the field of competition.
'[T]he Court of First Instance could not reject the appellants' request to order production of a document which was apparently material to the outcome of the case on the ground that the document had not been produced and there was nothing to confirm its existence.
Procedure following referral of the case back to the Court of First Instance and forms of order sought by the parties
- annul the contested decision;
- order the Commission to pay the costs of the entire proceedings.
- dismiss the application;
- order the applicants to pay the costs.
Substance
Arguments of the parties
Findings of the Court
'93 In this context, the Commission is required to assess in each case how serious the alleged interferences with competition are and how persistent their consequences are. That obligation means in particular that it must take into account the duration and extent of the infringements complained of and their effect on the competition situation in the Community.
94 If anti-competitive effects continue after the practices which caused them have ceased, the Commission thus remains competent under Articles 2, 3(g) and 86 of the Treaty to act with a view to eliminating or neutralising them (see, to that effect, Case 6/72 Europemballage and Continental Can v Commission [1973] ECR 215, paragraphs 24 and 25).
95 In deciding to discontinue consideration of a complaint against those practices on the ground of lack of Community interest, the Commission therefore cannot rely solely on the fact that practices alleged to be contrary to the Treaty have ceased, without having ascertained that anti-competitive effects no longer continue and, if appropriate, that the seriousness of the alleged interferences with competition or the persistence of their consequences has not been such as to give the complaint a Community interest.
96 In the light of the above considerations, it must be concluded that, by holding, without ascertaining that the anti-competitive effects had been found not to persist and, if appropriate, had been found not to be such as to give the complaint a Community interest, that the investigation of a complaint relating to past infringements did not correspond to the task entrusted to the Commission by the Treaty but served essentially to make it easier for the complainants to show fault in order to obtain damages inthe national courts, the Court of First Instance took an incorrect view of the Commission's task in the field of competition.
Costs
57. Under Article 87(2) of the Rules of Procedure of the Court of First Instance, the unsuccessful party is to be ordered to pay the costs if they have been applied for in the successful party's pleadings. In this case, since the Commission has been unsuccessful and the applicants have applied for costs, it must be ordered to pay the whole of the costs incurred before this Court and the Court of Justice.
On those grounds,
THE COURT OF FIRST INSTANCE (Second Chamber)
hereby:
1. Annuls Commission Decision SG (94) D/19144 of 30 December 1994 rejecting the complaint of 21 December 1990 by Syndicat Français de l'Express International (SFEI), now Union Française de l'Express (Ufex);
2. Orders the Commission to bear its own costs and to pay all the costs incurred by the applicants before the Court of First Instance and the Court of Justice.
Pirrung
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Delivered in open court in Luxembourg on 25 May 2000.
H. Jung J. Pirrung
Registrar President
1: Language of the case: French.