French Competition Law provides a comprehensive review of the French rules relating to competition: restrictive agreements, commercial negotiation, abuses of a dominant position, procedure and merger control.

French Competition Law

Before merger control proceedings were transferred to the Competition Authority under the terms of the LME law, the Minister of the Economy was in charge of proceedings. He now only has residual powers which allow him to take over proceedings at the end of the preliminary or the detailed examination phase. Article L. 430-7(I) deals with the Minister's intervention .
The Minister of the Economy may …

Powers of Minister of the Economy

Before merger control proceedings were transferred to the Competition Authority under the terms of the LME law, the Minister of the Economy was in charge of proceedings. He now only has residual powers which allow him to take over proceedings at the end of the preliminary or the detailed examination phase. Article L. 430-7(I) deals with the Minister's intervention .

The Minister of the Economy may, within 5 working days of the receipt of the Authority's decision or from the date he was informed thereof, request the opening of a detailed investigation where the Authority has not made any decision within the 25 day period from full notification. 

The Minister also has the power to preempt the case for reasons of public interest where, at the end of the detailed examination, the Authority takes one of the decisions provided for in Article L 430-7 (prohibition, authorization with conditions and obligations, full clearance subject to the fulfilment of commitments) or when it fails to take a decision within the period of sixty-five working days (may be extended) from the initiation of the detailed examination phase. Using for the first time the power of intervention for a concentration authorized subject to injunctions, in application of Article L. 430-7(I) of the Commercial Code, the Minister of the Economy has authorized the exclusive takeover of the ambient ready-meal division of the Agripole group, subject to a commitment to maintaining the overall level of employment within the buyer undertaking but without implementing the transfer of assets previously ordered by the Competition Authority which, in his view, would have had an immediate impact causing very significant deterioration in the profitability of the buyer while directly threatening a large number of jobs in areas often marked by high unemployment with little possibility of reorientation .

Within a period of 25 working days from the decision or the date the Minister is informed of it, he may rule on the transaction in question and take a reasoned decision. This decision can be accompanied by commitments. Before the decision is rendered, the Minister must give the notifying parties the opportunity of a hearing. The decision of the Minister is then transmitted to the Competition Authority.  Where the Minister believes that the parties have not performed a commitment contained in its decision, he may, in application of Article L. 430-8-IV, 1° to 3°, withdraw the authorization decision, or order, subject to periodic penalty payments, the parties (i) to execute the injunctions, requirements or non-performed commitments contained in its decision or (ii) to execute, within a fixed period, injunctions or requirements replacing the non-performed obligation .

The extent of the Minister's competence has been the subject of debate. The Competition Authority advocated that the Minister's jurisdiction should be limited to the power to authorize prohibited mergers. The law eventually enacted gives the Minister broad powers to rule on cases, enabling him to both authorize transactions prohibited by the Authority (or to amend the conditions for clearance) and to prohibit mergers that the Authority has cleared . The Minister's powers may however only be exercised within the limits of EU law.

Regarding the Minister's power, see Cons. d'Ét., 21 December 2012, LawLex201200002481JBJ, holding that the Minister of the Economy does not commit an error of law by deciding not to make use of its power of evocation, insofar as it is not established that the decision of the Competition Authority would be prejudicial to the maintenance of jobs, or to a general interest other than the maintenance of competition.  See also Revised Guidelines pt. 321.

Minister of the Economy, 19 July 2018, LawLex201800001150JBJ.

Law No 2015-990 of 6 August 2015 for growth, activity and equality of economic opportunities (Macron Law).

See, Report No 413 (2007-2008) of the special Senate commission of 24 January 2008.

French Competition Law

590. Powers of Minister of the Economy

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590. Powers of Minister of the Economy

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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au contenu exclusif Livv – juristes d’entreprise