Successfully represented clients in a competition case

Motieka & Audzevičius dispute resolution lawyers represented clients in an alleged naked cartel case, concerning four legal persons from a single economic entity.

The National Competition Authority (NCA) suspected a territory supervision entity, its parent company and parent company’s parent company (as forming a single economic entity) in alleged concerted actions with another entity in public procurement. NCA imposed a maximal possible fine it could calculate.

Vilnius regional administrative court quashed the Resolution of the NCA. Upon hearing arguments of the parties, the Court established that there is a lack of sufficient legal arguments and factual casual link to establish that the parent company’s parent company is a part of a single economic entity.

The Supreme Administrative Court of Lithuania confirmed the mentioned conclusion and additionally ruled that the parent company itself does not fall into the single economic entity, therefore no parental liability was found. Following shortly after ECJ judgment in Sumal, this ruling is important, establishing that a proposed to be liable parent company/subsidiary must at least be present in the market or take part in the infringement.