On Tuesday 25 October, the European Commission published guidance which aims to facilitate leniency applications by providing more transparency, predictability and accessibility to potential leniency applicants in competition investigations.
The Commission’s leniency programme allows companies to disclose, on a confidential basis, their participation in a cartel and cooperate with the Commission during an investigation. A successful leniency applicant will either completely avoid a potentially high fine or receive a substantial reduction.
To facilitate leniency applications in a more complex leniency context, the Commission has decided to publish guidance in the form of a Frequently Asked Questions (FAQs) document, which provides support for companies and their legal advisors.
In particular, the FAQ document:
- includes clarifications on the application of the Leniency Notice and details on the legal protections and benefits that the leniency programme offers;
- sets out new practical arrangements, such as the identification of Leniency Officers that companies or their legal representatives can contact for informal advice on leniency or guidance on submitting a leniency application;
- indicates the Commission’s intention to review potential leniency applications anonymously, without the need to disclose the sector, the parties involved, or any other details identifying the potential cartel. This will allow potential applicants to ascertain whether the conduct in question is likely to be considered a secret cartel and whether reporting it to the Commission would entitle them to benefit from the programme. This will be particularly useful if the conduct is new or if it is unclear whether it falls within the scope of the Leniency Notice.
Since the introduction of the Leniency Notice in 2006, the Commission has received over 550 leniency applications.
Read the FAQ document: https://aeur.eu/f/3rx (Original version in English by Lionel Changeur)