Courage (Competition) [2001] EUECJ C-453/99 (20 September 2001)

Courage (Competition) [2001] EUECJ C-453/99 (20 September 2001)

A party to a contract liable to restrict or distort competition within the meaning of Article 81 EC can rely on the breach of that provision to obtain relief from the other contracting party, including damages, unless that party bears significant responsibility for the distortion of competition. National rules barring such claims solely because the claimant is a party to the contract are precluded by Community law, but national courts may deny relief where the claimant is significantly responsible for the infringement.

Citation
[2001] EUECJ C-453/99
Parties
Plaintiff: Courage Ltd; Defendant: Bernard Crehan
Jurisdiction
European Union
Judgment Date
20 September 2001
Procedural Posture
Preliminary Ruling (reference for Interpretation) / Preliminary Reference From Court of Appeal (england and Wales) (civil Division) to Court of Justice of the European Communities
Outcome
Reference answered; relief available to party to anti-competitive contract subject to responsibility for infringement.
Legal Topics
Article 81 EC (ex Article 85), Anti Competitive Agreements, Damages for Breach of Competition Law, Procedural Autonomy, Effectiveness and Equivalence, Nullity of Anti Competitive Contracts
Competition Law European Union Law Contract Law Article 81 EC (ex Article 85) Anti Competitive Agreements Damages for Breach of Competition Law Procedural Autonomy Effectiveness and Equivalence +1 more

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Parties

Courage Ltd

Plaintiff

Bernard Crehan

Defendant

Procedural Posture

Preliminary Ruling (reference for Interpretation) / Preliminary Reference From Court of Appeal (england and Wales) (civil Division) to Court of Justice of the European Communities

Legal Issues

  1. 1 Whether a party to a prohibited agreement may rely on Article 81 EC to seek relief from the other contracting party
  2. 2 Whether such a party may claim damages for losses arising from the anti-competitive agreement
  3. 3 Whether national law barring recovery of damages by a party to an illegal agreement is consistent with Community law

Ratio Decidendi

A party to a contract liable to restrict or distort competition within the meaning of Article 81 EC can rely on the breach of that provision to obtain relief from the other contracting party, including damages, unless that party bears significant responsibility for the distortion of competition. National rules barring such claims solely because the claimant is a party to the contract are precluded by Community law, but national courts may deny relief where the claimant is significantly responsible for the infringement.

Court Disposition

Reference answered; relief available to party to anti-competitive contract subject to responsibility for infringement.

Orders

  • A party to a contract liable to restrict or distort competition within the meaning of Article 81 EC can rely on the breach of that provision to obtain relief from the other contracting party.
  • Article 81 EC precludes a rule of national law barring a party to such a contract from claiming damages solely because he is a party to the contract.