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Química: Further Developing the Rules on Parent Company Liability

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Abstract

On 20 January 2011, the Court of Justice of the European Union reached a decision in Química. The case dealt with the widely debated topic of parent company liability for infringements of competition law by its subsidiaries. The case note discusses consecutively: the facts of the case and the ruling of the General Court and the Court of Justice of the European Union, the definition and interpretation of the concept of a single economic unit, and the rebuttal of the presumption raised by the 100% shareholding. It concludes with some ideas and comments with regard to the judgment of the Court and the future outlooks regarding parent company liability for competition law infringements by subsidiaries.

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