One of the UK competition law enforcement authorities had received a number of consumer complaints about sharp increases in the price charged by commercial operators of a particular type of service. In order to develop a robust approach to these complaints, it tendered for a study on the approach that it should adopt to determine whether these increases amounted to exploitative abuse under Article 82 of the EC Treaty.
Reckon was selected to deliver this study.
Our approach was to start with a detailed review of all the relevant UK and European case law. This was used to construct an approach to assess whether a dominant undertaking has abused a dominant position by engaging in exploitative excessive pricing, and to evaluate the role that various economic techniques could play in the investigation of whether available evidence could support a finding of competition law infringement in relevant types of cases.
The final product was a report to the client which provides a detailed explanation of the understanding of this area of competition law developed from the case law, and practical guidance to the client on how to examine the cases that it might face. This guidance uses hypothetical case studies as examples to motivate a discussion of the types of analysis that might be required in different circumstances.