Towards a European Directive on Damages Actions
AbstractThis paper critically reviews the European Commission’s proposed Directive on future rules concerning actions for damages for competition law infringements under national law. It is argued that the proposal underestimates the importance of loss of profits induced by increased prices and does little in ensuring that such effects will receive an equal treatment to price effects in damage claims. The paper suggests that the importance of such effects could have been emphasized by introducing a rebuttable presumption on lucrum cessans based on pass-on considerations – paralleling the presumption on overcharge. Furthermore, the decision to leave questions of causality to national tort laws is criticized as a harmonized regulation of claims based on the merits of the evidence presented would have been a superior tool, in line with a more economic approach and better suited for achieving the goal of compensation for any victim due to its intrinsic flexibility. Finally the notion that legally relevant damages only accrue within a vertical value chain is challenged.
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Bibliographic InfoPaper provided by IESEG School of Management in its series Working Papers with number 2013-ECO-16.
Length: 19 pages
Date of creation: Jul 2013
Date of revision:
quantification of damages; pass-on; passing-on defence; overcharge; unjust enrichment; private enforcement; lucrum cessans; quantity effect; damnum emergens; price effect; burden of proof; standard of proof; tort law; compensation; presumption;
Find related papers by JEL classification:
- K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
- K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
- L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-09-25 (All new papers)
- NEP-COM-2013-09-25 (Industrial Competition)
- NEP-EUR-2013-09-25 (Microeconomic European Issues)
- NEP-LAM-2013-09-25 (Central & South America)
- NEP-LAW-2013-09-25 (Law & Economics)
- NEP-LTV-2013-09-25 (Unemployment, Inequality & Poverty)
- NEP-NEU-2013-09-25 (Neuroeconomics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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RAND Journal of Economics,
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