No C 282/4 Official Journal of the European Communities 5. 11.81 
II 
(Preparatory Acts) 
COMMISSION 
Proposal for a Council Regulation laying down detailed rules for the application of 
Articles 85 and 86 of the Treaty to maritime transport 
(Submitted by the Commission to the Council on 16 October 1981) 
THE COUNCIL OF THE EUROPEAN 
COMMUNITIES, 
Having regard to the Treaty establishing the 
European Economic Community, and in particular 
Article 87 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European 
Parliament, 
Having regard to the opinion of the Economic and 
Social Committee, 
Whereas the rules on competition form part of the 
Treaty's general provisions which also apply to 
maritime transport; whereas detailed rules for 
applying those provisions are set out in the Chapter 
of the Treaty dealing with the rules on competition or 
are to be determined by the procedures laid down 
therein; 
Whereas according to Council Regulation No 141 ('), 
Council Regulation No 17 (2) does not apply to 
transport; whereas Council Regulation (EEC) No 
1017/68 (J) applies to inland transport only; whereas, 
consequently, the Commission has no means at 
present of investigating directly cases of suspected 
infringement of Articles 85 and 86 in maritime 
transport; whereas, moreover, the Commission lacks 
such powers of its own to take decisions or impose penalties as are necessary for it to bring to an end 
infringements established by it; 
Whereas this situation necessitates the adoption of a 
Regulation applying the rules of competition to 
maritime transport similar to the Regulations covering 
other inland transport and other sectors of the 
economy; whereas, in the last recital to Council 
Regulation (EEC) No 954/79 concerning the rati­
fication by Member States of the United Nations 
Convention on a Code of Conduct for Liner 
Conferences (4), the Community laid down an 
important element of its policy concerning maritime 
transport; whereas this element will include the 
application of the Code of Conduct to a considerable 
number of Conferences serving the Community, while 
many other Conferences serving the Community 
probably will not come under the Code; whereas the 
Council has foreseen the future participation of the 
Community in the Convention on the Code; whereas 
the Regulation applying the competition rules to 
maritime transport foreseen in the last recital of 
Regulation (EEC) No 954/79, should take account of 
the adoption of the Code; whereas, as far as 
Conferences adhering to the Code of Conduct are 
concerned, the Regulation should, while avoiding 
contradictions with the Code, if necessary complete 
or make it more precise. 
Whereas taking account of the present experience 
which the Commission has concerning maritime 
transport, it appears preferable to exclude bulk trans­
portation from the field of application of this Regu­
lation; 
O OJ No 124, 28. 11. 1962, p. 2751/62. 
O OJ No 58, 10. 7. 1962, p. 1655/62. 
6 OJNoL 175,23.7. 1968, p. 1. (4) OJNoL 121, 17. 7. 1979, p. 1. 
5. 11.81 Official Journal of the European Communities No C 282/5 
Whereas this Regulation must be inspired by the 
double necessity, on the one hand to provide for 
implementing rules that enable the Commission to 
assure that competition is not unduly distorted within 
the common market, and on the other based to avoid 
an excessive regulation of the sector; 
Whereas this Regulation must define the scope of the 
provisions of Articles 85 and 86 of the Treaty, taking 
into account the distinctive characteristics of maritime 
transport; whereas restrictive practices or abuses 
concerning maritime transport between third 
countries or within a Member State are unlikely as a 
general rule appreciably to affect trade between 
Member States; whereas, trade between Member 
States on the other hand, is very likely to be affected 
where such restrictive practices or abuses concern 
international transport, including intra-Community 
transport, from or to Community ports; whereas such 
restrictive practices or abuses may influence 
competition, firstly, between ports in different 
Member States by altering their respective catchment 
areas, and secondly, between activities in those 
catchment areas, and disturb trade patterns within the 
common market; whereas, consequently, the Regu­
lation should apply solely to the latter restrictive 
practices and abuses; 
Whereas certain types of technical agreements, 
decisions and concerted practices may be excluded 
from the prohibition on restrictive practices on the 
ground that they do not, as a general rule, restrict 
competition; 
Whereas provision should be made for block 
exemption of liner conferences; whereas, as the last 
recital to Council Regulation (EEC) No 954/79 
states, liner conferences have a stabilizing effect, 
assuring shippers of reliable services; whereas they 
contribute generally to providing adequate efficient 
scheduled maritime transport services and give fair 
consideration to the interests of users; whereas such 
results cannot be obtained without the cooperation 
that shipping companies promote within conferences 
in relation to rates and, where appropriate, avail­
ability of capacity or allocation of cargo for shipment, 
and even income; whereas in most cases conferences 
continue to be subject to effective competition from 
both non-conference scheduled services and tramp 
services and, in certain circumstances, from other 
modes of transport; whereas, moreover, the mobility 
of fleets, which is a characteristic feature of the 
structure of availability in the shipping field, subjects 
conferences to constant competition which they are 
unable as a rule to eliminate as far as a substantial 
proportion of the shipping services in question is 
concerned; Whereas, however, in order to prevent conferences 
from engaging in practices which are incompatible 
with Article 85 (3) of the Treaty, certain conditions 
and obligations should be attached to the exemption; 
Whereas the aim of the conditions must be to prevent 
conferences from imposing restrictions on 
competition which are not indispensable to the 
attainment of the objectives on the basis of which 
exemption is granted; whereas, to this end, 
conferences must not, in respect of a given route, 
apply rates and conditions of carriage which are 
differentiated solely by reference to the country of 
origin or destination of the goods carried and thus 
causes within the Community deflections of trade that 
are harmful to certain ports, shippers, carriers or 
providers of services ancillary to transport; whereas, 
furthermore, loyalty agreements should be permitted 
only in accordance with rules which do not restrict 
excessively the freedom of users and consequently 
competition in the shipping industry, without 
prejudice, however, to the right of a conference to 
impose penalties on users who seek by improper 
means to evade the obligation of loyalty required in 
exchange for the rebates, reduced freight rates or 
commission granted to them by the conference; 
whereas users must be free to determine the under­
takings to which they have recourse in respect of 
inland transport or quayside services not covered by 
the freight charge or by other charges agreed with the 
shipping line; 
Whereas certain obligations should also be attached 
to the exemption; whereas in this respect users must 
at all times be in a position to acquaint themselves 
with the rates and conditions of carriage applied by 
members of the conference, since in the case of inland 
transport organized by shippers, the latter continue to 
be subject to Council Regulation (EEC) No 1017/68 
applying rules of competition to transport by rail, 
road and inland waterway; whereas provision should 
be made that awards given at arbitration and 
recommendations made by conciliators and accepted 
by the parties be notified forthwith to the 
Commission in order to enable it to verify that 
conferences are not thereby exempted from the 
conditions provided for in the Regulation and thus do 
not infringe the Community public policy of Articles 
85 and 86; 
Whereas consultations between users or associations 
of users and conferences are liable to secure more 
efficient operation of maritime transport services 
which takes better account of users' requirements; 
whereas, consequently, certain restrictive practices 
which could ensue from such consultations should be 
exempted; 
No C 282/6 Official Journal of the European Communities 5. 11.81 
Whereas there can be no exemption if the conditions 
set out in Article 85 (3) are not satisfied; whereas the 
Commission must therefore have power to take the 
appropriate measures where an agreement or 
concerted practice owing to special circumstances 
proves to have certain effects incompatible with 
Article 85 (3); whereas, in view of the specific role 
fulfilled by the conferences in the sector of the liner 
services, the reaction of the Commission must be 
progressive and proportionate; whereas the 
Commission must consequently have power first to 
address recommendations, then to take decisions; 
Whereas the automatic nullity provided for in Article 
85 (2) applies only to the elements of the agreement 
caught by the prohibition of Article 85 (1) and applies 
to the agreement in its entirety only if those elements 
do not appear to be severable from the whole of the 
agreement; whereas the Commission must therefore, 
if it finds an infringement to the block exemption, 
either specify what demerits of the agreement are 
caught by the prohibition and consequently auto­
matically void, or indicate the reasons why those 
elements are not severable from the rest of the 
agreement and why the agreement is therefore void in 
its entirety; 
Whereas, in view of the characteristics of inter­
national maritime transport, account should be taken 
of the fact that the application of this Regulation to 
certain restrictive practices or abuses may result in 
conflicts with the laws and rules of certain third 
countries and prove harmful to important Community 
trading and shipping interests; whereas provision 
should be made therefore that in such cases the 
Commission will endeavour to seek with the third 
countries concerned solutions capable of safeguarding 
those interests; 
Whereas the Regulation must make provision for the 
procedures, decision-making powers and penalties 
that are necessary to ensure compliance with the 
prohibitions laid down in Article 85 (1) and Article 
86, as well as the conditions governing the 
implementation of Article 85 (3); 
Whereas account should be taken in this respect of 
the procedural provisions of Regulation (EEC) 
No 1017/68 applicable to inland transport operations 
which takes account of certain distinctive features of 
transport operations viewed as a whole; 
Whereas, in particular, in view of the special 
characteristics of maritime transport, it is primarily 
the responsibility of undertakings to see to it that 
their agreements, decisions and concerted practices 
conform to the rules on competition, and 
consequently their notification to the Commission 
need not be made compulsory; Whereas in certain circumstances undertakings may, 
however, wish to apply to the Commission for confir­
mation that their agreements, decisions and concerted 
practices are in conformity with the provisions in 
force; whereas a simplified procedure should be laid 
down for such cases; 
HAS ADOPTED THIS REGULATION: 
SECTION 1 
SUBSTANTIVE PROVISIONS 
Article 1 
Subject matter and scope of the Regulation 
1. This Regulation lays down detailed rules for the 
application of Articles 85 and 86 of the Treaty to 
maritime transport. 
2. It shall apply only to international maritime 
transport operations other than bulk transports from 
or to one or more Community ports. 
Article 2 
Statutory exception for technical agreements 
1. The prohibition laid down in Article 85 (1) of 
the Treaty shall not apply to agreements, decisions or 
concerted practices whose sole object and effect is to 
achieve technical improvements or cooperation by 
means of: 
(a) the introduction or uniform application of 
standards or types in respect of vessels and other 
means of transport, equipment, supplies or fixed 
installations; 
(b) the exchange or pooling, for the purpose of 
operating transport services, of vessels and other 
modes of transport, staff, equipment or fixed 
installations; 
(c) the organization and execution of successive or 
supplementary maritime transport operations and 
the establishment and application of inclusive 
rates and conditions for such operations; 
(d) the coordination of transport timetables for 
connecting routes; 
(e) the bulking of individual consignments; 
5. 11.81 Official Journal of the European Communities No C 282/7 
(f) the establishment or application of uniform rules 
concerning the structure and the conditions 
governing the application of transport on 
condition that such rules do not directly or 
indirectly fix rates and conditions of carriage; 
2. The Commission shall, if necessary, submit to 
the Council proposals for the amendment of the list 
contained in paragraph 1 of this Article. 
Article 3 
Exemption for agreements between carriers 
concerning the operation of scheduled maritime 
transport services 
1. A liner conference means a group of vessel-
operating carriers which provides liner services for the 
carriage of cargo or passengers on a particular route 
or routes within specified geographical limits and 
which jointly fixes freight rates and any other 
conditions for those services. 
2. Agreements, decisions and concerted practices 
of all or part of the members of a conference or of 
several conferences are hereby exempted from the 
prohibition in Article 85 (1) of the Treaty, subject to 
the conditions imposed by Article 4 of this Regu­
lation, when they have one or more of the following 
objects: 
(a) the fixing of the abovementioned rates and 
conditions of carriage and, as the case may be; 
(b) the coordination of shipping timetables, sailing 
dates or dates of calls; 
(c) the determination of the frequency of sailings or 
calls; 
(d) the coordination or allocation of sailings or calls 
among members of the conference; 
(e) the regulation of the carrying capacity offered by 
each member; 
(f) the allocation of cargo or revenue among 
members. 
Article 4 
Conditions attaching to exemption 
The exemption provided for in Article 3 shall be 
granted subject to the following conditions: 
1. A conference shall not, within the common 
market, cause detriment to certain ports, shippers, carriers or providers of services ancillary to 
transport by applying for the carriage of the same 
goods and over the same transport link, rates and 
conditions of carriage which differ according to 
the country of origin or destination of the goods 
carried. 
2. Where a conference shall offer shippers or 
forwarding agents the opportunity of entering into 
loyalty agreements entitling them to rebate or 
reduced rates of freight, or where a conference 
offers forwarding agents the opportunity of 
concluding loyalty agreements entitling them to 
commission: 
(a) Each conference shall offer shippers or 
forwarding agents a system of immediate 
rebates or the choice between such a system 
and a system of deferred rebates. 
Under the system of immediate rebates each of 
the parties shall be entitled to terminate the 
loyalty agreement at any time without penalty 
and subject to a period of notice of note more 
than six months. 
Under the system of deferred rebates neither 
the loyalty period on the basis of which the 
rebate is calculated or the subsequent loyalty 
period required before payment of the rebate 
may exceed six months. 
(b) A conference may not refuse to enter into a 
new loyalty agreement on the ground that a 
shipper has previously terminated such an 
agreement. 
(c) The conference shall, after having consulted 
those concerned, their representative or their 
associations, draw up a list of circumstances in 
which shippers or forwarding agents are 
released from their obligation of loyalty. These 
shall include: 
— circumstances in which consignments are 
dispatched from or to a port not served by 
the conference, and 
— those in which waiting time at a port 
exceeds a period to be determined for each 
port and for each commodity or class of 
commodities following consultation of the 
shippers and forwarding agents directly 
concerned with the proper servicing of the 
port. 
The conference shall however be informed, in 
advance, by the shipper or forwarding agent, 
within a specified period, of his intention to 
dispatch the consignment from a port not 
served by the conference or to make use of a 
non-conference vessel at a port served by the 
conference as soon as he has been able to 
No C 282/8 Official Journal of the European Communities 5. 11.81 
establish from the published schedule of 
sailings that the maximum waiting period will 
be exceeded. 
(d) Loyalty arrangements shall apply: 
— only to consignments of goods covered by 
the conference tariff for shipment solely 
from the ports served by the conference, 
and 
— in respect of which the shipper or 
forwarding agent is entitled or able to 
determine the carrier under the contract 
for the purchase, sale or transfer of the 
goods; 
(e) The conference shall not prohibit the shipper 
or forwarding agent from using modes of 
transport other than maritime transport, nor 
may it deprive the shipper or forwarding agent 
of the right to choose the port of consignment 
and the carrier from among the ports served 
by it and the vessels that it operates. 
The conference shall nevertheless be entitled to 
impose penalties on a shipper or forwarding agent 
in respect of any improper use made of the 
provisions of subparagraphs (c), (d) and (e) above 
with a view to evading his obligation of loyalty. 
3. Shippers, forwarding agents and consignees shall 
be entitled to approach the undertakings of their 
choice in respect of inland transport operations 
and quayside services not covered by the freight 
charge or charges on which the shipping line and 
the shippers or forwarding agents have agreed. 
Article 5 
Obligations attaching to exemption 
The exemption provided for in Article 3 shall be 
granted subject to the following obligations: 
1. Users shall at all times be enabled to acquaint 
themselves with the rates and conditions of 
carriage applied by members of the conference; 
particulars to be specified shall include the 
conditions governing loading and unloading, the 
exact extent of the services covered by the freight 
charge or by any other charge levied by the 
shipping line, and customary practice in such 
matters. 
2. Awards given at arbitration and recommendations 
made by conciliators that are accepted by the 
parties shall be notified forthwith to the 
Commission when they resolve disputes relating 
to the practices of conferences referred to in 
Article 4. Article 6 
Exemption for agreements between shippers and 
conferences concerning the use of scheduled maritime 
transport services 
The prohibition laid down in Article 85 (1) of the 
Treaty shall not apply to agreements, decisions and 
concerted practices between shippers or forwarding 
agents, or between the latter or their associations, on 
the one hand, and conferences, on the other, 
concerning the quality, rates and conditions of 
scheduled maritime transport services. 
Article 7 
Monitoring of exempted agreements 
Where the persons concerned are in breach of an 
obligation which, pursuant to Article 5, attaches to 
the exemption provided for in Article 3 of this Reg­
ulation, or where, owing to special circumstances, 
agreements, decisions or concerted practices which 
qualify for the exemption provided for in Articles 3 or 
6 of this Regulation, have nevertheless effects which 
are incompatible with the conditions laid down in 
Article 85 (3) of the Treaty, the Commission may, in 
order to put an end to those effects or breaches and 
under the conditions laid down in Section II of this 
Regulation, 
— address recommendations to the persons 
concerned, 
— in the event of failure to observe such 
recommendations and depending upon the gravity 
of the incompatible effects or breaches concerned, 
adopt a decision that either will prohibit them 
from carrying out or require them to perform 
specific acts, or, while withdrawing the block 
exemption which they enjoyed, will grant them an 
individual exemption according to Article 10 (4) of 
this regulation, or will withdraw the block 
exemption which they enjoyed. 
Article 8 
Conflicts of international law 
Where the application of this Regulation to certain 
restrictive practices or clauses is liable to enter into 
conflict with the provisions laid down by law, regu­
lation or administrative action of certain third 
countries which would compromise important 
Community trading and shipping interest, the 
Commission shall, at the earliest opportunity, 
undertake with the competent authorities of the third 
countries concerned, consultations aimed at 
5. 11.81 Official Journal of the European Communities No C 282/9 
reconciling as far as possible the abovementioned 
interest with the respect of Community Law. 
The Commission shall, within three years of the entry 
into force of this Regulation, report to the Council 
on experience gained in this regard and make 
proposals for such amendments to the Regulation as 
may be necessary in the light of that experience. 
SECTION II 
RULES OF PROCEDURE 
Article 9 
Procedures on complaint or on the Commission's own 
initiative 
Acting on receipt of a complaint or on its own 
initiative, the Commission shall initiate procedures to 
terminate any infringement of the provisions of 
Articles 85 (1) or 86 of the Treaty or to enforce 
Article 7 of this Regulation. 
Complaints may be submitted by: 
(a) Member States; 
(b) natural or legal persons who claim a legitimate 
interest. 
Article 10 
Result of procedures on complaint or on the 
Commission's own initiative 
1. Where the Commission finds that there has been 
an infringement of Articles 85 (1) or 86 of the Treaty, 
it may by decision require the undertakings or 
associations of undertakings concerned to bring such 
infringement to an end. 
Without prejudice to the other provisions of this 
Regulation, the Commission may, before taking a 
decision under the preceding subparagraph, address 
to the undertakings or associations of undertakings 
concerned recommendations for termination of the 
infringement. 
2. Paragraph 1 shall apply also to cases falling 
within Article 7. 
3. If the Commission, acting on a complaint 
received, concludes that on the evidence before it 
there are no grounds for intervention under Articles 
85 (1) or 86 of the Treaty or Article 7 of this Regu­lation, in respect of any agreement, decision or 
practice, it shall issue a Decision rejecting the 
complaint as unfounded. 
4. If the Commission, whether acting on a 
complaint received or on its own initiative, concludes 
that an agreement, decision or concerted practice 
satisfies the provisions both of Article 85 (1) and of 
Article 85 (3) of the Treaty, it shall issue a Decision 
applying Article 85 (3). Such Decision shall indicate 
the date from which it is to take effect. This date may 
be prior to that of the decision. 
Article 11 
Application of Article 85 (3) — objections 
1. Undertakings and associations of undertakings 
which seek application of Article 85 (3) in respect of 
agreements, decisions and concerted practices falling 
within the provisions of Article 85 (1) to which they 
are parties may submit applications to the 
Commission. 
2. If the Commission judges an application 
admissible and is in possession of all the available 
evidence, and no action under Article 9 has been 
taken against the agreement, decision or concerted 
practice in question, then it shall publish as soon as 
possible in the Official Journal of the European 
Communities a summary of the application and invite 
all interested third parties to submit their comments 
to the Commission within 30 days. Such publication 
shall have regard to the legitimate interest of under­
takings in the protection of their business secrets. 
3. Unless the Commission notifies applicants, 
within 90 days from the date of such publication in 
the Official Journal of the European Communities, that 
there are serious doubts as to the applicability of 
Article 85 (3), the agreement, decision or concerted 
practice shall be deemed exempt, in so far as it 
conforms with the description given in the 
application, from the prohibition for the time already 
elapsed and for a maximum of three years from the 
date of publication in the Official Journal of the 
European Communities. 
If the Commission finds, after expiry of the 90 day 
time limit, but before expiry of the three-year 
period, that the conditions for applying Article 85 (3) 
are not satisfied, it shall issue a Decision declaring 
that the prohibition in Article 85 (1) is applicable. 
Such Decision may be retroactive where the parties 
concerned have given inaccurate information or 
where they abuse the exemption from the provisions 
of Article 85 (1). 
4. If, within the 90-day time limit, the Commission 
notifies applicants as referred to in the first subpara-
No C 282/10 Official Journal of the European Communities 5. 11. 81 
graph of paragraph 3, it shall examine whether the 
provisions of Article 85 (1) and of Article 85 (3) are 
satisfied. 
If it finds that the provisions of Article 85 (1) and of 
Article 85 (3) are satisfied it shall issue a Decision 
applying Article 85 (3). The Decision shall indicate 
the date from which it is to take effect. This date may 
be prior to that of the application. 
Article 12 
Duration and revocation of Decisions applying 
Article 85 (3) 
1. Any Decision applying Article 85 (3) taken 
under Article 10 (4) or under the second subpa­
ragraph of Article 11 (4) shall indicate the period for 
which it is to be valid; normally such period shall not 
be less than six years. Conditions and obligations may 
be attached to the Decision. 
2. The Decision may be renewed if the conditions 
for applying Article 85 (3) continue to be satisfied. 
3. The Commission may revoke or amend its 
Decision or prohibit specified acts by the parties: 
(a) where there has been a change in any of the facts 
which were basic to the making of the Decision; 
(b) where the parties commit a breach of any 
obligation attached to the Decision; 
(c) where the Decision is based on incorrect infor­
mation or was induced by deceit; 
(d) where the parties abuse the exemption from the 
provisions of Article 85 (1) granted to them by 
the Decision. 
In cases falling within (b), (c) or (d), the Decision 
may be revoked with retroactive effect. 
Article 13 
Powers 
Subject to review of its Decision by the Court of 
Justice, the Commission shall have sole power: 
— to impose obligations pursuant to Article 7, 
— to issue Decisions pursuant to Article 85 (3). 
The authorities of the Member States shall retain the 
power to decide whether any case falls within the provisions of Article 85 (1) or Article 86, until such 
time as the Commission has initiated a procedure 
with a view to formulating a Decision in the case in 
question or has sent notification as provided for in 
the first subparagraph of Article 11 (3). 
Article 14 
Liaisons with the authorities of the Member States 
1. The Commission shall carry out the procedures 
provided for in this Regulation in close and constant 
liaison with the competent authorities of the Member 
States; these authorities shall have the right to express 
their views on such procedures. 
2. The Commission shall immediately forward to 
the competent authorities of the Member States 
copies of the complaints and applications, and of the 
most important documents sent to it or which it sends 
out in the course of such procedures. 
3. The Advisory Committee on Restrictive 
Practices and Monopolies in the Transport Industry 
shall be consulted prior to the taking of any decision 
following upon a procedure under Article 9 or of any 
decision under the second subparagraph of Article 11 
(3), or under the second subparagraph of paragraph 4 
of the same Article. The Advisory Committee shall 
also be consulted prior to adoption of the 
implementing provisions provided for in Article 27. 
4. Consultation shall take place and the Committee 
will deliver its opinion in accordance with the rules 
laid down in Article 16 (5) and (6) of the Regulation 
referred to in paragraph 3 of this Article. 
Article 13 
Consideration by the Council of questions of principle 
concerning the common transport policy raised in 
connection with specific cases 
1. The Commission shall not give a decision in 
respect of which consultation as laid down in Article 
14 is compulsory until after the expiry of 20 days 
from the date on which the Advisory Committee has 
delivered its opinion. 
2. Before the expiry of the period specified in 
paragraph 1, any Member State may request that the 
Council be convened to examine with the 
Commission any question of principle concerning the 
common transport policy which such Member State 
considers to be involved in the particular case for 
decision. 
5. 11.81 Official Journal of the European Communities No C 282/11 
The Council shall meet within 30 days from the 
request by the Member State concerned for the sole 
surpose of considering such questions of principle. 
The Commission shall not give its decision until after 
the Council meeting. 
3. Further, the Council may at any time, at the 
request of a Member State or of the Commission, 
consider general questions raised by the 
implementation of the competition policy in the sea 
transport sector. 
4. In all cases where the Council is asked to meet 
to consider under paragraph 2 questions of principle 
or under paragraph 3 general questions, the 
Commission shall, for the purposes of this Reg­
ulation, take into account the policy guidelines which 
emerge from that meeting. 
Article 16 
(deleted) 
Article 17 
Requests for information 
1. In carrying out the duties assigned to it by this 
Regulation, the Commission may obtain all necessary 
information from the governments and competent 
authorities of the Member States and from under­
takings and associations of undertakings. 
2. When sending a request for information to an 
undertaking or association of undertakings, the 
Commission shall at the same time forward a copy of 
the request to the competent authority of the Member 
State in whose territory the seat of the undertakings 
is situated. 
3. In its request, the Commission shall state the 
legal basis and the purpose of the request, and also 
the penalties provided for in Article 20 (1) (b) for 
supplying incorrect information: 
4. The owners of the undertakings or their rep­
resentatives and, in the case of legal persons, 
companies or firms, or of associations having no legal 
personality, the person authorized to represent them 
by law or by their constitution, shall be bound to 
supply the information requested. 
5. Where an undertaking or association of under­
takings does not supply the information requested 
within the time limit fixed by the Commission, or 
supplies incomplete information, the Commission shall by Decision require the information to be 
supplied. The Decision shall specify what information 
is required, fix an appropriate time limit within which 
it is to be supplied and indicate the penalties provided 
for in Article 20 (1) (b) and Article 21 (1) (c) and the 
right to have the Decision reviewed by the Court of 
Justice. 
6. The Commission shall at the same time forward 
a copy of its Decision to the competent authority of 
the Member State in whose territory the seat of the 
undertaking or association of undertakings is situated. 
Article 18 
Investigations by the authorities of the Member States 
1. At the request of the Commission, the 
competent authorities of the Member States shall 
undertake the investigations which the Commission 
considers to be necessary under Article 19 (1), or 
which it has ordered by Decision pursuant to Article 
19 (3). The officials of the competent authorities of 
the Member States responsible for conducting these 
investigations shall exercise their powers upon 
production of an authorization in writing issued by 
the competent authority of the Member State in 
whose territory the investigation is to be made. Such 
authorization shall specify the subject matter and 
purpose of the investigation. 
2. If so requested by the Commission or by the 
competent authority of the Member State in whose 
territory the investigation is to be made, the officials 
of the Commission may assist the officials of such 
authority in carrying out their duties. 
Article 19 
Investigating powers of the Commission 
1. In carrying out the duties assigned to it by this 
Regulation, the Commission may undertake all 
necessary investigations into undertakings and 
associations of undertakings. To this end the officials 
authorized by the Commission are empowered: 
(a) to examine the books and other business records; 
(b) to take copies of or extracts from the books and 
business records; 
(c) to ask for oral explanations on the spot; 
(d) to enter any premises, land and vehicles of under­
takings. 
No C 282/12 Official Journal of the European Communities 5.11.81 
2. The officials of the Commission authorized for 
the purpose of these investigations shall exercise their 
powers upon production of an authorization in 
writing specifying the subject matter and purpose of 
the investigation and the penalties provided for in 
Article 20 (1) (c) in cases where production of the 
required books or other business records is 
incomplete. 
In good time before the investigation, the 
Commission shall inform the competent authority of 
the Member State in whose territory the same is to be 
made of the investigation and of the identity of the 
authorized officials. 
3. Undertakings and associations of undertakings 
shall submit to investigations ordered by Decision of 
the Commission. The Decision shall specify the 
subject matter and purpose of the investigation, 
appoint the date on which it is to begin and indicate 
the penalties provided for in Article 20 (1) (c) and 
Article 21 (1) (d) and the right to have the Decision 
reviewed by the Court of Justice. 
4. The Commission shall take decisions referred to 
in paragraph 3 after consultation with the competent 
authority of the Member State in whose territory the 
investigation is to be made. 
5. Officials of the competent authority of the 
Member State in whose territory the investigation is 
to be made, may at the request of such authority or 
of the Commission, assist the officials of the 
Commission in carrying out their duties. 
6. Where an undertaking opposes an investigation 
ordered pursuant to this Article, the Member State 
concerned shall afford the necessary assistance to the 
officials authorized by the Commission to enable 
them to make their investigation. Member States shall 
apply mutatis mutandis the measures taken. 
Article 20 
Fines 
1. The Commission may by Decision impose on 
undertakings or associations of undertakings fines of 
from 100 to 5 000 units of account where, 
intentionally or negligently: 
(a) they supply incorrect or misleading information, 
or in an application in a communication pursuant 
to Article 5 (2) or pursuant to Article 11; or (b) they supply incorrect information in response to a 
request made pursuant to Article 17 (3) or (5), or 
do not supply information within the time limit 
fixed by a Decision taken under Article 17 (5); or 
(c) they produce the required books or other business 
records in incomplete form during investigations 
under Article 18 or Article 19, or refuse to submit 
to an investigation ordered by Decision issued in 
implementation of Article 19 (3). 
2. The Cpmmission may by Decision impose on 
undertakings or associations of undertakings fines of 
from 1 000 to 1 000 000 units of account, or a sum in 
excess thereof but not exceeding 10 % of the 
turnover in the preceding business year of each of the 
undertakings participating in the infringement, where 
either intentionally or negligently: 
(a) they infringe Article 85 (1) or Article 86 of the 
Treaty, or do not comply with an obligation 
imposed under Article 7 of this Regulation; 
(b) they commit a breach of any obligation imposed 
pursuant to Article 5 or to Article 12 (1). 
In fixing the amount of the fine, regard shall be had 
both to the gravity and to the duration of the 
infringement. 
3. Article 14 (3) and (4) and Article 15 shall apply. 
4. Decisions taken pursuant to paragraphs 1 and 
2 shall not be of criminal law nature. 
Article 21 
Periodic penalty payments 
1. The Commission may by Decision impose on 
undertakings or associations of undertakings periodic 
penalty payments of from 50 to 1 000 units of 
account per day, calculated from the date appointed 
by the Decision, in order to compel them: 
(a) to put an end to an infringement of Article 85(1) 
or Article 86 of the Treaty the termination of 
which it has ordered pursuant to Article 10 or to 
comply with an obligation imposed pursuant to 
Article 7; 
(b) to refrain from any act prohibited under 
Article 12 (3); 
(c) to supply complete and correct information which 
it has requested by Decision taken pursuant to 
Article 17 (5); 
5. 11.81 Official Journal of the European Communities No C 282/13 
(d) to submit to an investigation which it has ordered 
by Decision taken pursuant to Article 19 (3). 
2. Where the undertakings or associations of 
undertakings have satisfied the obligation which it 
was the purpose of the periodic penalty payment to 
enforce, the Commission may fix the total amount of 
the periodic penalty payment at a lower figure than 
that which would arise under the original Decision. 
3. Article 14 (3) and (4) and Article 15 shall apply. 
Article 22 
Review by the Court of Justice 
The Court of Justice shall have unlimited jurisdiction 
within the meaning of Article 172 of the Treaty to 
review Decisions whereby the Commission has fixed a 
fine or periodic penalty payment; it may cancel, 
reduce or increase the fine or periodic penalty 
payment imposed. 
Article 23 
Unit of account 
For the purpose af applying Articles 20 to 22 the unit 
of account shall be that adopted in drawing up the 
budget of the Community in accordance with Articles 
207 and 209 of the Treaty. 
Article 24 
Hearing of the parties and of third persons 
1. Before taking decisions as provided for in 
Articles 10, 11 (3), second subparagraph, and 11 (4), 
12 (3), 20 and 21, the Commission shall give the 
undertakings or associations of undertakings 
concerned the opportunity of being heard on the 
matters to which the Commission has taken objection. 
2. If the Commission or the competent authorities 
of the Member States consider it necessary, they may 
also hear other natural or legal persons. Applications 
to be heard on the part of such persons where they 
show a sufficient interest shall be granted. 3. Where the Commission intends to give negative 
clearance pursuant to Article 85 (3) of the Treaty, it 
shall publish a summary of the relevant agreement, 
decision or concerted practice and invite all interested 
third parties to submit their observations within a 
time limit which it shall fix being not less than one 
month. Publication shall have regard to the legitimate 
interest of undertakings in the protection of their 
business secrets. 
Article 25 
Professional secrecy 
1. Information acquired as a result of the 
application of Articles 16 to 19 shall be used only for 
the purpose of the relevant request or investigation. 
2. Without prejudice to the provisions of Articles 
24 and 26, the Commission and the competent auth­
orities of the Member States, their officials and other 
servants shall not disclose information acquired by 
them as a result of the application of this Regulation 
and of the kind covered by the obligation of pro­
fessional secrecy. 
3. The provisions of paragraphs 1 and 2 shall not 
prevent publication of general information or surveys 
which do not contain information relating to 
particular undertakings or associations of under­
takings. 
Article 26 
Publication of Decisions 
1. The Commission shall publish the Decisions 
which it takes pursuant to Articles 10, 11 (3), second 
subparagraph, 11 (4) and 12 (3). 
2. The publication shall state the names of the 
parties and the main content of the Decision; it shall 
have regard to the legitimate interest of undertakings 
in the protection of their business secrets. 
No C 282/14 Official Journal of the European Communities 5. 11.81 
Article 27 Article 28 
Implementing provisions Entry into force 
The Commission shall have power to adopt This Regulation shall enter into force on 
implementing provisions concerning the scope of the 
obligation of communication pursuant to Article 5 (2) 
the form, content and other details of complaints 
pursuant to Article 9, applications pursuant to 
Article 11 and the hearings provided for in Article 24 This Regulation shall be binding in its entirety and 
(1) and (2). directly applicable in all Member States.