2002/190/EC: Commission Decision of 21 December 2000 relating to a proceeding under Article 81 of the EC Treaty Case COMP.F.1/35.918 — JCB) (Notifications IV-28.694, IV-28.695, IV-28.696, IV-28.697, IV-28.700, IV-28.702) (Notified under document number C(2000) 3887)

• Articles: 7

Article 1

JCB Service and its subsidiaries have infringed Article 81 of the Treaty by entering into agreements or concerted practices with authorised distributors, the object of which is to restrict competition within the common market in order to partition national markets and provide absolute protection in exclusive territories outside which authorised distributors are prevented from making active sales and which, include the following:

(a) restrictions on passive sales by authorised distributors in the United Kingdom, Ireland, France and Italy, which include sales to unauthorised distributors, end-users or authorised distributors located outside exclusive territories and, in particular, in other Member States;

(b) restrictions on sources of supply regarding purchases of contract goods by authorised distributors located in France and Italy, which prevent cross-supplies between distributors;

(c) fixing of discounts or resale prices applicable by authorised distributors in the United Kingdom and France;

(d) imposition of service support fees on sales to other Member States effected by authorised distributors outside exclusive territories in the United Kingdom on the initiative of and according to fixed scales set forth by JC Bamford Excavators Ltd or other subsidiaries of JCB Service, thereby making distributors' remuneration dependent on the geographic destination of sales;

(e) withdrawal of allowances depending on whether sales in the United Kingdom are made within or outside exclusive territories or whether authorised distributors, in the territory of whom contractual products are used, reach an agreement with authorised selling distributors, thereby making distributors' remuneration dependent on the geographic destination of sales.

Article 2

The application for exemption submitted by JC Bamford Excavators Ltd on 30 June 1973 is rejected.

Article 3

JCB Service and its subsidiaries shall bring to an end the infringements established in Article 1 on notification of this Decision. JCB Service or its subsidiaries, in particular JC Bamford Excavators Ltd, shall, within two months of notification of this Decision:

(a) inform their authorised distributors in the Community that they may carry out passive sales to end-users and authorised distributors;

(b) amend their agreements with their authorised distributors either by allowing passive sales to unauthorised distributors inside other authorised distributors' exclusive territories and active and passive sale to unauthorised distributors within their own territories, or by authorising active and passive sales by authorised distributors to other authorised distributors, end-users or to their duly appointed agents outside their exclusive territories;

(c) amend their agreements with their authorised distributors in Italy and France by allowing purchases of contract goods from other authorised distributors in the Community and inform all authorised distributors in the Community accordingly;

(d) inform their authorised distributors in the Community that requests emanating from its subsidiaries seeking service support fees from authorised distributors without evidence of prior disagreement between the distributors concerned are void and should be ignored;

(e) inform their authorised distributors in the United Kingdom that allowances under the multiple deal trade support are granted regardless of whether sales are made within the distributors' territory or outside respectively or whether agreement with other distributors outside the territory has been made;

(f) send copies of the above correspondence and amended agreements to the Commission.

Article 4

A fine of EUR 39614000 is imposed on JCB Service in respect of the infringements referred to in Article 1, except for the restrictions on sales to unauthorised distributors implemented in the United Kingdom, for which no fine is imposed.

Article 5

The fine determined in Article 4 shall be paid in euro within three months of the date of notification of this Decision, to the following account: Account No 642-0029000-95, of the European Commission with Banco Bilbao Vizcaya Argentaria BBVA, Avenue des Arts Kunstlaan 4, B-1040 Brussels.

After three months, interest shall automatically be payable at the interest rate charged by the European Central Bank on its main refinancing operations on the first working day of the month in which this Decision was adopted, plus 1,5 percentage points, namely 8,32 %.

Article 6

With regard to the obligations mentioned in Article 3, a penalty payment of EUR 1000 shall be imposed on JCB Service for each day of delay in implementing this Decision. Such delay shall start from the expiry of the two-month period specified for implementation.

Article 7

This Decision is addressed to JCB Service, Rocester, Staffordshire ST14 5JP, United Kingdom.

This Decision shall be enforceable pursuant to Article 256 of the Treaty.

Done at Brussels, 21 December 2000.

For the Commission

Mario Monti

Member of the Commission

(1) OJ 13, 21.2.1962, p. 204/62.

(2) OJ L 148, 15.6.1999, p. 5.

(3) OJ 127, 20.8.1963, p. 2268/63 and OJ L 354, 30.12.1998, p. 18.

(4) JCB has brought proceedings against Central Parts on grounds of unfair competition before the French courts. In a first judgment, the tribunal of Commerce in Paris described JCB's behaviour in France as clear attempts to create barriers to the free movement of products in the EC and awarded damages to Central Parts (Tribunal de Commerce de Paris, 1'ère chambre A, judgment of 11 December 1995 (Main file I, pp. 109-111)). This judgment has however been reversed in appeal by the Paris Court of Appeal on 8 April 1998. The judgment on appeal did not deal with these barriers any further, but found Central Parts guilty of unfair competition by deliberately misleading customers as to its status of unofficial JCB distributor, reversed the previous order awarding damages to Central Parts and awarded damages to JCB. According to JCB, the acts committed by Central Parts justify in themselves a refusal of supplies and indeed, JCB SA declared to the Court of Appeal that JCB's actions were aimed at curbing Central Parts' unlawful acts (e.g. in respect of JCB's trademark) and certainly not at preventing parallel imports made by Central Parts (Reply dated 6 July 1998 from JCB to the Statement of Objections, Appendix 14, Judgment dated 8 April 1998, p. 13, which reads: "Considérant que la Société JCB SA ... soutient que les actions qu'elle a dirigées contre celle-ci (Central Parts) sont essentiellement destinées à faire cesser les actes fautifs et déloyaux qu'elle a commis et certainement pas à l'empêcher d'effectuer des importations parallèles"). It is not appropriate in this decision to re-examine either the factual and legal allegations submitted or omitted by JCB ad Central Parts in that litigation or the judgments of the French courts.

(5) Reply to the Statement of Objections dated 6 July 1998 ("RSO I" hereafter).

(6) Reply to the Statement of Objections dated 13 December 1999 ("RSO II" hereafter).

(7) Commission decision of 18 December 1998 in Case IV/M.1235 - New Holland/Orenstein & Koppel (points 8 and 13); Commission decision of 28 October 1999 in Case M-1571 - New Holland/Case, OJ C 130, 11.5.2000, p. 11 (points 55-56).

(8) Passages between brackets [] indicate business secrets or confidential information deleted.

(9) RSO I, pp. 17-19.

(10) Commission decision in New Holland - Case (points 62-65 and 72-73). The final market delineation did not follow the parties' initial submission postulating a broader product market (paragraph 63). In its decision in New Holland - Orenstein Koppel (point 13), the Commission also mentioned strong indications that different categories of machines pertain to different product markets.

(11) Letter from JCB to the Directorate-General for Competition dated 4 February 2000.

(12) See the principles of assessment in paragraph 56 of the Commission notice on the definition of the relevant market for the purposes of Community competition law (OJ C 372, 9.12.1997).

(13) Internal JCB Document 1995 Dealer Review (Insp. file, pp. 2053-2106). The correlation between the stock of six-year old machines and the net sales of parts in each distributor's territory within the whole official distributor network in France is in a range between [0 and 1] from 1993 to 1995 ("Analyse résultat par CA/MC NET année 1994" dated 11.1.1995 (Insp. file, p. 1402); "Activité pièces de rechange 1993" dated 20.1.1994 (Insp. file, p. 1964); "Activité pièces de rechange 1995/94 à fin juin" dated 6.7.1995 (Insp. file, p. 1740); own calculations.

(14) RSO I, p. 15.

(15) The Commission indicated in its decision of 23 February 1998 in Case IV/M.1094 Caterpillar - Perkins Engines (OJ C 94, 28.3.1998, p. 23, points 22-23) that the upstream market for diesel engines supplied for construction equipment on an OEM basis cannot be enlarged beyond the EEA.

(16) JCB Group Business review 1995/96, Private and confidential document signed Sir A. Bamford (Insp. file, p. 1086).

(17) RSO I, pp. 25-26 and Appendix 10, p. 78.

(18) CECE Flash retails June 1996, Internal JCB memo dated 23.7.1996 (Insp. file, pp. 958-994). The CECE reports, which are distributed to most senior JCB management to monitor market penetration, record sales in volume and not in value.

(19) Attachment to letter from ETD Leadbeater to DG IV dated 11 March 1976 (File IV/28.694, p. 66).

(20) JCB Group Business review 1995/96, Private and confidential document signed Sir A. Bamford (Insp. file, p. 1086). According to JCB, this share is less than 10 %, excluding attachments (1997) (RSO, paragraph 3.13, p. 15).

(21) Attachment to internal note from Mrs Rausch, JCB France to ETD Leadbeater dated 17 September 1996: French dealer profile (Insp. file, p. 1435).

(22) See also Commission decision in New Holland - Case (points 72-75 and 90-92). The proposed concentration between New Holland and Case would have raised serious doubts as to its compatibility with the common market in relation to the EEA market for backhoe loaders, on which the merged entity and JCB would have had incentives and market power to carry out parallel anti-competitive behaviours, their positions not being likely to be challenged by actual or potential competitors. In order to allay these concerns, the parties undertook to divest the Fermec brand of backhoe loaders and its distribution assets to a third party. Subject to these undertakings, the operation was deemed not to create or to reinforce a dominant position in that distinct market.

(23) Export Sales and Service Agreement DK (IV 28.694); Distributor Agreement Export IRL (IV 28.695); Distributor Agreement UK (IV 28.696); Main Dealer Agreement UK (IV 28.697); Distributor Agreement JCB International Inc. DE-BENELUX-IT (IV. 28.702).

(24) Sweden (IV 28.695); Finland, Spain, Portugal (IV 28.694); Austria, Greece (IV 28.700).

(25) Iceland, Norway (IV 28.694).

(26) IV 28.694, pp. 68-72.

(27) IV 28.696, pp. 12-17.

(28) IV 28.697, pp. 12-18.

(29) Excavators, four-wheel drive loaders, crawler loaders.

(30) IV 28.694, p. 5.

(31) IV 28.695, pp. 18-21.

(32) IV 28.702, p. 14-22.

(33) IV 28.694, p. 18-21.

(34) IV 28.700, p. 12-18.

(35) Letter from Mr D. Thompson, Director DG IV, to JCB Sales Ltd dated 27 October 1975 (IV 28.694, pp. 24-28).

(36) OJ L 29, 3.2.1975, p. 1.

(37) BMW decision, paragraph 3(ii) and (iii).

(38) The internal summary of the meeting between DG IV and JCB on 18 December 1975 reads: "JCB brought to the meeting new forms of distributor and main dealer agreement (i.e. Distributor Agreement - Export, Distributor and Main Dealer Agreements - UK) to replace those which had been notified. The new agreements contained no express prohibitions on exports, nor did they protect dealers' territories. Distributors and 'approved sub-dealers' were no longer of any economic importance in the UK. The JCB Distributor Agreement - Export would be used for EEC countries other than France. The new agreements and the information given at the meeting substantially answered the questions in our letter of 27 October 1975" (IV 28.694, p. 33).

(39) RSO II, p. 6, paragraphs 20 and 51.

(40) Letter from JCB dated 6 March 1980 (IV 26.696, p. 33).

(41) Version enclosed in letter from JCB dated 6 March 1980 (IV 26.696, pp. 33-53) and Article 4 JCB Distributor Agreement UK with Watling JCB dated 21 January 1992 (Insp. file, pp. 1123-1143).

(42) Article 4 JCB Distributor Agreement copied at Watling JCB's premises (Insp. file, pp. 1146-1169).

(43) IV 28.694, pp. 34-37.

(44) IV 28.694, pp. 68-72. Agreement sent following request for information dated 13 January 1976.

(45) In the United Kingdom and Ireland, such official distributors use the acronym JCB after their commercial denomination (e.g. Watling JCB, Gunn JCB, etc.).

(46) RSO I, paragraph 5.8, pp. 32-33, and RSO II, p. 32.

(47) Internal JCB note from N. D. Allen to J. Patterson dated 30 June 1994 (Insp. file, pp. 722-731).

(48) Internal memorandum from A. D. L. Shaw to T. Fernández dated 24 February 1995 (Insp. file, pp. 1718-1719).

(49) Internal confidential note from J. Bradley to T. Fernández dated 11 October 1995 (Insp. file, pp. 1704-1707).

(50) Letter from F. Rausch, JCB France to Mr Malecot, SEM CEDIMA dated 21 June 1996 (Insp. file, pp. 2155-2156).

(51) Letter from F. Rausch, JCB France to R. Pain, BPV dated 5 June 1996 (Insp. file, pp. 2157-2160), which reads: "Nous sommes prêts à poursuivre notre soutien jusqu'au 31 décembre 1996 de façon à ne pas laisser échapper des ventes sur ce marché parallèle et nous vous garantissons une marge de 30000 FF dans la mesure où vos prix sont de 10000 FF supérieurs à ceux du marché parallèle. Par ailleurs, dans le cas où vous perdriez une chargeuse pelleteuse face à un marché parallèle, nous vous allouerons une commission de service de 10000 FF". Letter from P. Tellier, JCB France to BPV dated 31 March 1995 (Insp. file, p. 440).

(52) Note from E. de Montarnal, JCB France to R. Pain, BPV dated 8 December 1995, which reads: "Dans la mesure où BPV est obligé de rapprocher son prix de vente de celui de Central Parts, JCB s'engage à garantir une marge de 20 % pour toute pièce facturée plus de 5000 F et une marge de 30 % pour toute pièce facturée moins de 5000 F ceci à la condition expresse que BPV transmette à JCB l'information complète une fois par mois: nom du client, références de la pièce JCB et Central Parts, prix tarif de Central Parts". (Insp. file, p. 475) Letter from P. Tellier, JCB France to BPV dated 12 April 1994 (Insp. file, p. 450), letter from P. Tellier to COLOMAT dated 1 August 1995 (Insp. file, pp. 463-464).

(53) Report on visit to JCB GmbH Germany on 19 May 1994 (Insp. file, pp. 1702-1703).

(54) Insp. file, p. 317.

(55) Letter from Heritage Disposals to Central Parts dated 24 October 1994 (Main file I, p. 13).

(56) Faxes from M. J. Butler, JCB Sales UK to P. Leboucher, JCB France and to D. Barton, Gunn JCB, dated 20 November 1992 and letter from D. Barton to M. J. Butler dated 30 November 1992 (Insp. file, pp. 355-357).

(57) Letter from D. Barton, Gunn JCB to C. Ingram, JCB Sales UK dated 19 May 1989 (Insp. file, p. 880). The "Austrian friends" referred to in the document are, most presumably, employees from Terra, JCB's official distributor in Austria. A communication dated 21 March 1989 between Gunn JCB and JCB attributes the deal being lost by Gunn JCB to unsubstantiated claims from Terra (Insp. file, p. 878).

(58) Letter from Mr. Davis, Watling JCB to the Secretary of the Queen's Award Office dated 26 October 1992 (Insp. file, pp. 1048-1057).

(59) Letter from J. Davis, Watling JCB to F. Rausch, JCB France dated 9 March 1995 (Insp. file, p. 1695).

(60) Letter from M. Vairon, Central Parts to M. Martin, Watling JCB dated 16 December (Insp. file, p. 1717). The handwritten note is dated 19 December. On 19 December 1994, Watling JCB replied to Central Parts that they "do not wish to supply parts to you or any other company who is not a JCB user or dealer. If we did, it would only cause us trouble with JCB", (Main file I, p. 48).

(61) Handwritten note from Parts and Service Director, Watling JCB in letter from M. Vairon to Watling JCB dated 25 January 1996 (Main file I, p. 50).

(62) Letter from M. L. Smithers, Watling JCB Ltd to MJT Contracts Ltd dated 12 May 1994 (Insp. file, p. 298).

(63) Letter from Mr Roddy, Berkeley JCB to J. Patterson, JCB Sales dated 13 April 1995 (Insp. file, p. 249).

(64) Fax from F. de Gennaro, Berkeley JCB to Michel Vairon, Central Parts dated 21 November 1995 (Main file, p. 21).

(65) Letter from S. C. J. Briant, Managing Director, Scott JCB to F. Rausch, JCB France dated 21 May 1996 (Insp. file, pp. 326-329).

(66) Letter from TC Harrison JCB to Central Parts dated 21 November 1995 (Main file I, p. 24).

(67) Letter from G. Greenshields, JCB UK Sales Director to Mr Davis, Watling JCB dated 2 June 1992 (Insp. file, pp. 3-4).

(68) Letter from C. Y. Ingram, JCB UK Sales Director to D. Barton, Gunn JCB dated 23 May 1989 (Insp. file, p. 368). JCB states that its letter is not directed at cross-border sales, but deals with the impact of unfair competition generally (RSO II, p. 45).

(69) Letter from N. D. Allen, JCB Parts Director to J. Davies, Watling JCB dated 22 October 1990 (Insp. file, pp. 2457-2458).

(70) Confidential JCB Memo from J. Patterson to M. Coyne dated 9 March 1994 (Insp. file, p. 19).

(71) Draft JCB Discussion Document: "Spurious Competition" (Insp. file, pp. 251-265).

(72) Internal note from J. Patterson to P. Leboucher dated 1 July 1996 (Insp. file, pp. 2284-2285); fax from F. Rausch to J. Patterson dated 15 July 1996 (Insp. file, pp. 99-102); internal note from J. Patterson to Sir Anthony Bamford dated 25 October 1996 (Insp. file, p. 2282); JCB France document: Construction re-engineering plan dated 10 October 1996 (Insp. file, pp. 218-210); note from F. Rausch, JCB France to J. Patterson, JCB dated 14 October 1996 (Insp. file, p. 2241).

(73) [...].

(74) [...].

(75) RSO I, Appendix 12 and RSO II, p. 39. Other documents in the commission file would indicate that a similar unnotified allowance system exists in France. Reference is made by Mrs F. Rausch, JCB France in a note to Mr L. Forget dated 21 June 1988 to the fact that sales made outside territories will not receive support ("faire l'objet d'aide") (Insp. file, p. 84).

(76) RSO I, point 7.2, p. 43 and RSO II, p. 39.

(77) RSO II, p. 39.

(78) Private and confidential letter from G. Greenshields, United Kingdom Sales Director to Messrs Moreton, Roddy, Barton, Hillman, Shaw, Bryant, Meace, Osborne, Shields and Davis (executives from each United Kingdom official distributor) dated 18 March 1992 (Insp. file, p. 246).

(79) RSO I, Annex 12, points 7.2, p. 43 and 7.14-20, pp. 48-49.

(80) Letter from G. Greenshields, United Kingdom Sales Director to Mr Davis, Chairman of Watling JCB dated 2 June 1992 (Insp. file, pp. 3-4).

(81) Private and confidential letter from G. Greenshields, United Kingdom Sales Director to Messrs Moreton, Roddy, Barton, Hillman, Shaw, Bryant, Meace, Osborne, Shields and Davis (executives from each United Kingdom official distributor) dated 18 March 1992 (Insp. file, p. 246).

(82) Fax from G. T. Boulton, Distribution Manager, JCB to Mr Shaw, Gunn Midland dated 12 May 1992 (Insp. file, p. 269).

(83) [...].

(84) RSO II, p. 38.

(85) Note from G. Bonvincini, JCB SpA to C. E. Coutts, JCB Sales dated 28 June 1993 and annex (Contratto distribuzione). Clause 4 reads: "Il distributore si impegna: (...) iii) a vendere I Prodotti JCB solo entro il Territorio. v) a non vendere o essere coinvolto sia direttamente sia indirettamente, nella vendita di Prodotti nuovi che siano in qualsiasi modo in concorrenza con quelli forniti dalla JCB (i.e. exclusively JCB SpA as defined in clause 1), se non abbia ricevuto prima il consenso scritto della JCB". Clause 6 reads: "Il Distributore se impegna nel Territorio v ad acquistare parti di ricambio, attrezzature e prodotti sussidiari per l'uso o le riparazioni di Prodotti JCB solo dalla JCB o da altra fonte, previa autorizzazione per iscritto da parte dalla JCB". Clause 8 reads "La JCB si riserva la facoltà di vendere direttamente o a mezzo di terzi prodotti JCB nel Territorio alla Clientela appartenente a una delle seguenti categorie: i) Grandi imprese (oltre 10 miliardi di lire di fatturato annuo) salvo che ci sia un diretto coinvolgimento del Distributore nel procurare la vendita; ii) clienti che aquistano per esportare, salvo che ci sia un diretto coinvolgimento del Distributore nel procurare la vendita." (Insp. file, pp. 540-559).

(86) Private and Confidential Memo from J. Patterson, JCB to G. Bonvincini, JCB SpA dated 24 March 1994 (Insp. file, p. 18).

(87) The relevant provision in French reads (Article 2.2): "Sans préjudice de ce qui est dit à l'Article 4 ci-après, le concessionnaire s'engage, pour la durée du contrat et à titre de condition essentielle de celui-ci, à s'approvisionner en produits JCB et en pièces JCB exclusivement auprès, respectivement, de JCB SA et de JCB Service et à ne pas vendre, diffuser ni promouvoir - directement ou indirectement - pendant la durée du présent contrat et sur le Territoire, des produits directement ou indirectement concurrents des produits JCB (à l'exception des machines d'occasion) ni des pièces JCB". JCB Spare Parts are defined as those pertaining to JCB machines and included in JCB catalogues (Annex 1, point 2, Contrat de Concession, Insp. file, pp. 52-83).

(88) Letter from F. Rausch, JCB SA to P. Malecot, SEM-CEDIMA dated 21 June 1996 (Insp. file, pp. 2155-2156). The relevant passages read: "Entre-temps, nous avons appris et vous l'avez d'ailleurs confirmé à Monsieur Dominique Fontana, que vous avez acheté des machines neuves JCB non pas à nos sociétés Françaises, mais à des Sociétés anglaises. Il semble que cela concernerait une dizaine de machines. Par ailleurs, vous nous avez également confirmé qu'il vous arrivait de vous approvisionner en pièces d'origine JCB auprès de Sociétés britanniques. Nous comprenons donc, tant du fait de cette politique d'achat qui appelle au demeurant nos plus expresses réserves, que d'après les derniers entretiens téléphoniques que nous avons eus, que vous ne croyez pas pouvoir envisager de mettre en oeuvre le projet de collaboration tel que nous l'avons défini dans notre courrier du 23 avril 1996, qui est resté à ce jour sans réponse. En conséquence, nous vous indiquons et, en tant que de besoin, nous vous notifions, qu'à compter du 31 décembre 1996, les Sociétés JCB SA, JCB manutention et JCB Service cesseront toutes relations commerciales avec vos Sociétés, SEM-CEDIMA et K. Malecot". JCB states that a fax from F. Rausch, JCB France to C. E. Coutts, JCB UK states in connection with these purchases: "I confirm that the following machines have been sold direct by GUNN to one of our dealers called SEM-CEDIMA/Malecot. I would like to know at what price those machines have been sold and if they have been supported by JCB Sales. In any case, it is creating a major problem to me. Serial numbers are 443680: transferred from BERKELEY to GUNN retailed on 2.04.96 to Greyhound, 443826: sold to GUNN retailed on 2.4.96 to GREYHOUND" (RSO II, p. 35, Annex 2).

(89) Letter from (confidential) to DG IV dated 10 February 1999 (Main file, pp. 2205-2243). The letter reads: "Approvisionnement en machines et pièces dans un pays de la CEE. Si JCB n'a jamais tenu à formaliser par écrit les interdictions d'achats de pièces de rechange et les matériels de la marque en dehors des sources d'approvisionnement de JCB France, celle-ci a effectué des pressions sur le réseau et sur notre société en utilisant les moyens disponibles d'un concédant vis à vis d'un concessionnaire pour empêcher cette source d'approvisionnement autre. Ces interdictions faites par JCB sont néanmoins aussi contractuelles puisque inscrites dans le contrat de concession (Annexe 1, including the distributor agreement between 1992 and 1995)".

(90) Letter from Mr R. Pain, BPV (official distributor in France) to F. Rausch, JCB France dated 17 April 1996, which reads: "L'existence de plusieurs réseaux pirates n'est pas compatible avec un réseau concessionnaires tel que vous le souhaitez. Trois solutions nous semblent envisageables: 1) Ajuster les prix de cession - pièces et matériels - France avec les prix de cession Angleterre, 2) Ajuster les prix de cession Angleterre avec les prix de cession France, 3) laisser la possibilité à vos concessionnaires d'une vraie libre concurrence et notamment de s'approvisionner sur le marché le plus attractif" (Insp. file, pp. 508-509).

(91) Letter from E. de Montarnal, JCB SA to Mr Pain, BPV dated 4 July 1995. The letter reads: "(...) nous sommes intervenus auprès de la société Technicentre pour lui rappeler que, contractuellement, les concessionnaires JCB sont engagés à ne pas vendre ni diffuser des produits JCB (neufs ou démonstration de moins de 6 mois) en dehors de leur territoire" (Insp. file, p. 87). The same interpretation of the relevant provision, with the same wording, is also found in the letter from Mr R. Caujole, JCB SA to Messrs Matton and Mella of Société Philippe MTP dated 10 January 1995 (Insp. file, p. 88). Whilst "diffuser" (promote) refers to active sales, "vendre" (sell) includes passive (unsolicited) sales. As regards encouragement of collusion, both letters have the same wording: "Nous souhaiterions plus concrètement que, dans vos intérêts communs et bien compris, vous vous mettiez directement en relation pour éviter dans l'avenir ce genre de pratiques. Il est en effet préférable d'échanger régulièrement des informations ou de négocier entre vous ces affaires communes plutôt que de faire bénéficier le client de ce climat concurrentiel".

(92) Letter from R. Caujole, JCB France to Société Philippe MTP dated 10 January 1995 (Insp. file, p. 2154).

(93) Letter from G. Dorval and B. Cazalbou, Pinault Equipement to JCB dated 31 January 1996 (Insp. file, p. 2171): "Il apparaît que nous sommes de plus en plus fréquemment concurrencés, en matière de pièces de rechanges, par votre filiale Ile de France. En effet, celle-ci livre directement des distributeurs Aquitains (...). Nous vous demandons d'intervenir énergiquement auprès de JCB Ile de France afin que les demandes de pièces de l'Aquitaine nous soient immédiatement répercutées conformément à nos accords".

(94) Reference is made by Mrs F. Rausch, JCB France in a note to Mr L. Forget dated 21 June 1988 to the fact that sales made outside territories will not receive support ("faire l'objet d'aide") (Insp. file, p. 84).

(95) Letter from E. de Montarnal, JCB France to S. Malécot, SEM CEDIMA dated 17 November 1998: "Suite à plusieurs entretiens que vous avez eus avec Monsieur Desmoulières, il avait été convenu que lorsque vous auriez une opportunité de vente hors du territoire de votre concession, dans une zone non couverte par un concessionnaire JCB, vous nous en informeriez et ne concluriez aucune affaire commerciale avant d'avoir reçu un accord initial de JCB France. Aujourd'hui nous vous confirmons ... que JCB a nommé l'entreprise Thelliez à Mer (41) comme concessionnaire dans la région Centre-Val-de-Loire (départements 45, 41, 37, 16). En fonction de ce qui précède, nous vous demandons de ne plus réaliser de prospection ni de ventes directement ou indirectement - par exemple par un intermédiaire - en dehors du territoire exclusif de SEM-CEDIMA qui vous a été concédé ... Vous remerciant de respecter le point important ci-dessus évoqué ...".

(96) Letter from A. Krug, JCB NV to J. P. Guillemard, JCB France dated 4 June 1992 (Insp. file, p. 90).

(97) Letter from F. J. Zeevenhooven, JCB NV to C. E. Coutts, JCB Sales Ltd dated 17 March 1995.

(98) Internal note from A. D. L. Shaw, JCB Service (Parts) to Mr N. D. Allen dated 3 May 1994 (Insp. file, p. 1681).

(99) Note from D. R. Bell, Managing Director JCB Landpower to G. Greenshields dated 31 March 1993 (Insp. file, p. 854).

(100) Fax from G. Bohnenkamp, JCB GmbH to G. Greenshields, JCB Sales UK dated 11 May 1995 (Insp. file, p. 951).

(101) Fax from R. Price, District Sales Manager JCB to G. Bohnenkamp, JCB GmbH dated 15 May 1995 (Insp. file, p. 950).

(102) Internal memorandum from A. D. L. Shaw, JCB Sales UK (Parts) to G. Pauls, JCB GmbH dated 19 May 1994 (Insp. file, pp. 1702-1703); "Parts & attachments report - March 1994" dated 15 April 1994 and note from N. D. Allen, JCB to A. D. L. Shaw regarding the report dated 19 April 1994 (Insp. file, pp. 1800-1806).

(103) Letter from D. Barton, Gunn JCB to C. Ingram, JCB Sales UK dated 19 May 1989 (Insp. file, p. 880). As shown later on in the document, the "Austrian friends" referred to are, most presumably, employees from Terra, JCB's official distributor in Austria. A communication dated 21 March 1989 between Gunn JCB and JCB on this issue attributes the deal being lost by Gunn JCB to unsubstantiated claims from Terra (Insp. file, p. 878).

(104) Letter from C. Y. Ingram, JCB Sales Director to D. Barton, Gunn JCB dated 23 May 1989 (Insp. file, p. 368).

(105) Letter from D. O'Sullivan, ECI JCB to J. Davis, Watling JCB dated 26 January 1996 (Insp. file, p. 115).

(106) Fax from C. E. Coutts to F. Rausch dated 31 January 1995 and attachments (Insp. file, pp. 2332-2338).

(107) Fax from J. O. Lomasney, ECI JCB to J. Bradley, JCB dated 31 January 1995 (Insp. file, pp. 2256-2262); fax from A. Nicholson, ECI JCB to C. Coutts, JCB Sales dated 30 March 1995 (Insp. file, pp. 917-921).

(108) Fax from F. Rausch, JCB France to A. Bois dated 25 May 1994. The French text reads: "(...) nous avons pu négocier pour ce client une commission après vente de 8000 FF, que nous te réserverons dès que tu nous auras confirmé ton accord sur ce qui précède" (Insp. file, p. 819). See also fax from G. Greenshields, JCB Sales to J. Davis, Watling JCB dated 9 February 1995 (Insp. file, p. 301).

(109) Doc. "Machines pirates" ACG dated 22 December 1995 (Insp. file, p. 3565); letter from J. Davis, Watling JCB to F. Rausch, JCB France dated 5 March 1995 (Insp. file, p. 438); faxes from F. Rausch, JCB France to G. Greenshields, JCB Sales UK dated 22 May 1996 (Insp. file, p. 322) and 28 May 1996 (Insp. file, p. 323-325); letter from J. Davis, Watling JCB to F. Rausch, JCB France dated 9 March 1995 (Insp. file, p. 1695).

(110) Note from C. Y. Ingram, Export Sales Director to Mr G. Greenshields dated 29 March 1993 (Insp. file, p. 856).

(111) Note from F. Rausch, JCB SA to L. Forget dated 21 June 1988 (Insp. file, p. 84A), or also fax from C. Y. Ingram, JCB to C. Fiorentini, JCB SpA dated 14 February 1996 (Insp. file, p. 2598).

(112) Letter from B. Sutton, TC Harrison JCB to ECI JCB dated 29 February 1996 (Insp. file, pp. 924-925).

(113) Letter from D. W. Stone to Mrs Gibbs, Horwood & Company Solicitors dated 21 March 1994 (Insp. file, pp. 243-245).

(114) Fax from R. Price, District Sales Manager JCB UK Sales to G. Bonnenkamp, JCB GmbH dated 15 May 1995 (Insp. file, p. 950), in response to the latter's fax dated 11 May 1995 (Insp. file, p. 951).

(115) Fax from G. Smith, JCB Maquinaria to C. E. Coutts, JCB UK dated 27 July 1994 (Insp. file, p. 953).

(116) RSO I, p. 67.

(117) RSO II, Appendix1.

(118) Minutes of the Dealer Principal Meeting held at the Motorcycle Museum, Birmingham, Tuesday 21 May 1991 (Insp. file, pp. 673-676).

(119) Letter from D. R. Bell, Managing Director JCB Landpower to P. Shields, Secretary of the Dealer Association dated 19 June 1991 (Insp. file, pp. 661-662).

(120) Minutes of the Dealer Principal meeting held at the Motorcycle Museum, Birmingham, Thursday 18 July 1991 (Insp. file, pp. 664-668).

(121) Letter from P. Shields to J. Davis, Watling JCB dated 11 January 1993 (Insp. file, p. 138).

(122) Letter from P. Shields, Secretary of the JCB Dealer association to J. Davis, Watling JCB dated 20 January 1993 (Insp. file, pp. 677-678).

(123) Letter from N. D. Allen, JCB Parts Director to P. Shields, Holt JCB dated 16 July 1991 (Insp. file, pp. 669-670).

(124) Letter from T. Weil, Souffelmat to M. Caujole, JCB dated 23 October 1995: "Nous vous prions de trouver en annexe copie de notre commande Malnati pour un prix exceptionnel de Frs 315000 selon votre accord, vu les conditions ci-dessous mentionnées dans ce dossier. Cette affaire fait suite à une commande passée par le client chez Central Parks, d'un 4CX neuf au prix de Frs 310000 HT avec fourches (montant du crédit-bail)" (Insp. file, p. 2170).

(125) Fax from F. Rausch JCB France to Mr Montenay dated 18 July 1994. The text reads: "Suite à votre courrier concernant l'affaire Zanetti, nous sommes surpris que vous ayez pu donner un prix de 187800 FF pour 1 JCB CX Drott, alors que c'est à peu près le prix concessionnaire. Je vous rappelle que sur ce type de machines, nous n'avons pas de concurrent et il n'est pas question de vendre ces machines à 177800 FF. De plus ces machines sont vendues à des loueurs de plus grande importance que Zanetti à 205000 FF pour un équipement similaire. Pourrez-vous me donner des explications sur la façon dont vous avez calculé votre prix?" (Insp. file, p. 2264).

(126) Fax from F. Rausch, JCB France to G. Greenshields, JCB UK dated 10 June 1996 (Insp. file, pp. 847-848).

(127) Internal memo from C. E. Coutts to E. Eckerts et al dated 16 May 1995 (Insp. file, p. 331); letters from C. Coutts, JCB to J. Davis, Watling JCB dated 1 and 21 December 1994 (Insp. file, pp. 198-199); fax from F. Rausch, JCB France to A. Bois dated 25 May 1994 (Insp. file, p. 819); and, more recently, article on exclusive distribution by Mrs F. Rausch, formerly Managing Director of JCB SA, Expert before the Paris Court of Appeal and Chairman of the Legal Committee of the Fédération des Entreprises Industrielles et Commerciales Internationales de la Mécanique et de l'Electronique in "La Tribune", dated 12 November 1998 (Main file, p. 2181).

(128) Draft letter from C. E. Coutts, Sales Development Director, JCB to Donal O'Sullivan, ECI JCB (Insp. file, pp. 785-786) in response to a letter from Donal O'Sullivan to G. Greenshields, JCB dated 19 February 1996 (Insp. file, p. 789).

(129) OJ L 20, 28.1.1993.

(130) Recitals 62 and 69 (references to recitals are also references to footnotes and documents therein). Such references are provided as an illustration of the facts assessed. They are not necessarily exhaustive, as other documents quoted in this decision may also refer to the same or similar practices.

(131) Recitals 63 and 71. The words "wholesale for resale" designate sale for resale in practice, irrespective of the quantity sold, as opposed to sale for own use.

(132) Recital 89.

(133) Recital 91.

(134) Recital 84.

(135) Recital 85.

(136) Recital 86.

(137) Recitals 107, 108 and 124.

(138) Recitals 111 to 114.

(139) Recitals 115 to 117.

(140) Recitals 121 and 124.

(141) Recital 122.

(142) Recitals 93 and 118.

(143) Recitals 121 and 124.

(144) Recitals 117 and 120.

(145) Recitals 118 and 119.

(146) Recital 93.

(147) Recitals 108 and 124.

(148) Recital 118.

(149) Recital 117.

(150) Recital 112.

(151) Recitals 83 to 91.

(152) Recitals 75 to 81, 86, 108 and 112, for instance.

(153) Recital 96.

(154) Recital 52, 64 (United Kingdom) and 69 (other Member States of the EEC in 1975, except France).

(155) Recital 126.

(156) Recitals 86, 119, 123, 124 and 127.

(157) Recital 124.

(158) Recital 64.

(159) Recitals 64 and 127.

(160) Recitals 124 and 125.

(161) Recitals 98 to 100.

(162) Recitals 98 to 100 and 102 to 105.

(163) Recital 103.

(164) Recital 99.

(165) Recital 128.

(166) Recital 129.

(167) Recital 130.

(168) Recitals 131 and 132.

(169) Recitals 112 and 133.

(170) Recitals 65 and 70.

(171) Recitals 109 and 110.

(172) Recital 106.

(173) Recital 120.

(174) Recital 110.

(175) Recitals 75 to 80, 106, 110 and 124.

(176) Recital 80.

(177) Recital 110. Recitals 84 and 120 show indications of restrictions on such intra-network sales from the United Kingdom to France and Germany.

(178) Recitals 15, 17 and 27 to 33.

(179) Recitals 65, 111, 135 and 136.

(180) Judgment of the Court of Justice in joined Cases 209 to 215/78 and 218/78, Van Landewyck v Commission, 29 October 1980, ECR 1980 p. 3125, 3243, points 61 and 62.

(181) Recital 63.

(182) Recitals 52, 64 and 69.

(183) Recitals 65 and 70.

(184) Recitals 61 to 65 (United Kingdom) and 67 to 72 (other Member States) indicate the most relevant provisions of the latest agreements notified or made known to the Commission for each Member State.

(185) Judgment of the Court in Joined Cases 43 and 63/82 VBVB and VBBB v. Commission, 17 January 1984, [1984] ECR 19, summary, No 1.

(186) Recital 95.

(187) Recital 111.

(188) Recitals 44 to 46.

(189) Recitals 93, 102, 103, 104, 108, 110, 112, 116, 118, 121, 124, 129 and 130.

(190) Commission Regulation No 27 of 3 May 1962, First Regulation implementing Council Regulation No 17 (OJ 35, 10.5.1962, p. 1118/62. See recitals 58, 61, 67).

(191) Recital 63.

(192) Recitals 52, 64 and 69.

(193) Recitals 65, 68 and 70.

(194) Version of 30 June 1973, recitals 38 and 39.

(195) Recitals 44 to 46.

(196) Recitals 71 and 122.

(197) Recitals 67 to 72.

(198) Recitals 40 and 96.

(199) Recitals 123 to 127.

(200) Recitals 42 and 44 to 46.

(201) Recitals 83 to 91, 107, 108 and 111 to 122.

(202) Recitals 41 to 46.