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Competition Law in Italy The first 20 years of law and practice

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customer lists <strong>and</strong> price lists were then distributed to all the pharmaceutical companies,<br />

which would <strong>in</strong> turn discuss these lists <strong>and</strong> decide which <strong>of</strong> the cartel members should be<br />

awarded which tender. Accord<strong>in</strong>g to the <strong>Competition</strong> Authority, the market shar<strong>in</strong>g scheme<br />

was carried out ma<strong>in</strong>ly through bilateral meet<strong>in</strong>gs <strong>and</strong> contacts aimed at ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g a<br />

balance with regards to the companies’ respective client bases.<br />

(b) Exemption from Prohibition<br />

Accord<strong>in</strong>g to Section 4(1) <strong>of</strong> the <strong>Competition</strong> <strong>Law</strong>, the <strong>Competition</strong> Authority may<br />

authorize, for a limited period <strong>of</strong> time, agreements restra<strong>in</strong><strong>in</strong>g competition provided that<br />

these agreements:<br />

“Have the effect <strong>of</strong> improv<strong>in</strong>g the conditions <strong>of</strong> supply <strong>in</strong> the market, lead<strong>in</strong>g<br />

to substantial benefits for consumers. Such improvements shall be identified<br />

tak<strong>in</strong>g also <strong>in</strong>to account the need to guarantee the undertak<strong>in</strong>gs the necessary<br />

level <strong>of</strong> <strong>in</strong>ternational competitiveness <strong>and</strong> shall be related, <strong>in</strong> particular, to<br />

<strong>in</strong>creases <strong>of</strong> production, improvements <strong>in</strong> the quality <strong>of</strong> production or<br />

distribution, or to technical <strong>and</strong> technological progress. <strong>The</strong> exemption may not<br />

permit restrictions that are not strictly necessary for the purposes <strong>of</strong> this<br />

subsection, <strong>and</strong> may not permit competition to be elim<strong>in</strong>ated <strong>in</strong> a substantial<br />

part <strong>of</strong> the market”.<br />

In any case, the benefits to consumers must outweigh the negative consequences that the<br />

agreement could produce. 124<br />

Section 4(1) also provides that the <strong>Competition</strong> Authority may exempt categories <strong>of</strong><br />

agreements from Section 2 by decision. So far, however, the <strong>Competition</strong> Authority has not<br />

exempted any categories <strong>of</strong> agreements <strong>and</strong> has applied Section 4 <strong>in</strong> only a few cases.<br />

Section 13 <strong>of</strong> the <strong>Competition</strong> <strong>Law</strong> provides for the possibility to file voluntary<br />

notification with the <strong>Competition</strong> Authority, with a view to obta<strong>in</strong><strong>in</strong>g:<br />

• a negative clearance (i.e., a formal decision confirm<strong>in</strong>g that the notified agreement<br />

does not restrict competition with<strong>in</strong> the mean<strong>in</strong>g <strong>of</strong> Section 2 <strong>of</strong> the <strong>Competition</strong><br />

<strong>Law</strong>); or<br />

• an <strong>in</strong>dividual exemption (i.e., a formal decision grant<strong>in</strong>g an exemption based on<br />

Section 4 <strong>of</strong> the <strong>Competition</strong> <strong>Law</strong>).<br />

Follow<strong>in</strong>g the adoption <strong>of</strong> Regulation (EC) No. 1/<strong>20</strong>03 that, <strong>in</strong>ter alia, elim<strong>in</strong>ated the<br />

possibility to file voluntary notifications with the European Commission, the national<br />

legislator has not <strong>in</strong>troduced a similar change <strong>in</strong> the Italian antitrust regime, by repeal<strong>in</strong>g<br />

Section 13 <strong>of</strong> the <strong>Competition</strong> <strong>Law</strong>. 125<br />

However, <strong>in</strong> its decisional <strong>practice</strong>, the Authority<br />

declares Section 13 notifications <strong>in</strong>admissible, argu<strong>in</strong>g that the notified agreement may<br />

124<br />

Ristrutturazione Rete Distributori Carburante, 26 June 1993, n. I53, Bullet<strong>in</strong> n. 14/1993.<br />

125<br />

This provision provides for the possibility to file voluntary notifications with the <strong>Competition</strong><br />

Authority, <strong>in</strong> connection with agreements fall<strong>in</strong>g with<strong>in</strong> the scope <strong>of</strong> §§ 2 <strong>and</strong> 4 <strong>of</strong> the <strong>Competition</strong><br />

<strong>Law</strong>.<br />

39

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