WRITTEN QUESTION E-1270/01 by Salvador Garriga Polledo (PPE-DE) to the Commission. Sale of films in packages (block booking).
Date: 2001-05-02
Institutions: European Parliament, Provisional data
Subjects: competition law, distributive trades, film industry

4.12.2001

EN

Official Journal of the European Communities

C 340 E/209

The authors themselves recognise that (cid:145)The only problem [of PRF] is the degree to which it may in some
cases not meet national or state requirements for toxic elements(cid:146).

The Commission is of the opinion that the use of PRF on land (whatever the land use or characteristics
may be) should be subject to close scrutiny in order to avoid long-term environmental pollution. A
restriction on the quantity of PRF (or other wastes with similar characteristics, for that matter) to be spread
on land per year and per hectare may be a proportionate measure to achieve this objective.

(1) OJ L 194, 25.7.1975.
(2) OJ L 78, 26.3.1991.

(2001/C 340 E/240)

WRITTEN QUESTION E-1270/01

by Salvador Garriga Polledo (PPE-DE) to the Commission

Subject: Sale of films in packages (block booking)

(2 May 2001)

The vast majority of those working in the European cinema industry are opposed to the sale of films in
packages as practised by some distributors despite this being both illegal and condemned by professionals
in the industry.

A number of European competition courts have already condemned the practice of block booking since
attempting to sell something you possess and forcing the purchase of set packages are not one and the
same thing.

Can the Commission say in what way the EU can protect itself at Community level against the illegal
practices of some cinematographic distributors whereby they force the sale of films in packages, what
Community provisions there are to protect professionals working in the cinema industry against such
abusive practices and what it would propose to do against this tendency to engage in abusive practises
displayed by some Community cinematographic distributors?

Answer given by Mr Monti on behalf of the Commission

(20 June 2001)

The Honourable Member asks the Commission how the Community may prevent alleged abusive block
booking practices by cinematographic distributors. The Honourable Member also asks what mechanisms
do professionals from the cinema industry have at their disposal in order to challenge such practices.

The Commission understands the question as referring to the tying of the acquisition of the right to
publicly exhibit a certain film for a certain period to the obligation of acquiring the right to exhibit an
additional set of films. The Commission can inform the Honourable Member that it has been confronted in
the past with allegations concerning this type of practices but no evidence has ever been produced so as to
justify the Commission pursuing a case in this domain.

From a Community competition law perspective, the practice consisting in tying the sale of one product to
another may be considered in certain circumstances as an infringement of the competition rules enshrined
in Articles 81 and 82 (ex Articles 85 and 86) of the EC Treaty.

Article 81, paragraph 1(e), of the EC Treaty prohibits all agreements and concerted practices between
undertakings which may affect trade between Member States and which have as their object or effect the
restriction of competition, and in particular those which make the conclusion of contracts subject to
acceptance by other parties of supplementary obligations which, by their nature or according to
commercial usage, have no connection with the subject of such contracts.

C 340 E/210

Official Journal of the European Communities

EN

4.12.2001

Article 82 (d) of the EC Treaty prohibits any abuse by one or more undertakings of a dominant position
within the common market or in a substantial part of it insofar as it may affect trade between Member
States, where such abuse consists in making the conclusion of contracts subject to acceptance by the other
parties of supplementary obligations which, by their nature or according to commercial usage, have no
connection with the subject of such contracts.

Pursuant to Article 9, paragraph 2, of Council Regulation No 17 (1), the Commission has the power to
apply Article 81, paragraph 1, and Article 82 of the EC Treaty. The Commission should underline that,
pursuant
the Member States remain
competent to apply the EC Treaty provisions as long as the Commission has not initiated any procedure.

to Article 9, paragraph 3, of Regulation 17,

the authorities of

The Commission may exercise its powers either upon its own initiative or upon application of third
parties. Those entitled to make application are Member States and natural or legal persons who claim
a legitimate interest.

Therefore, if the professionals from the cinema industry the Honourable Member refers to in his question
are able to produce any evidence on the alleged practices by cinematographic distributors which they
consider to be abusive, the Commission would urge them to complain to the national competition
authorities or to the Commission. Provided that the requirements of Articles 81 or 82 are fulfilled, the
national authorities or the Commission will act so as to bring the infringements to the Community
competition rules to an end.

(1) Council Regulation No 17, First Regulation implementing articles 85 [now 81] and 86 [now 82] of the Treaty

(OJ 13, 21.2.1962).

(2001/C 340 E/241)

WRITTEN QUESTION E-1271/01

by Salvador Garriga Polledo (PPE-DE) to the Commission

Subject: Privatisation in Eastern European candidate states

(2 May 2001)

Even when significant progress has been made in the negotiations for the accession of Eastern European
countries to the European Union, something which it is to be hoped will be in the not too distant future,
the satisfactory conclusion of the privatisation process in these countries will continue to present an
important challenge.

The future of these countries(cid:146) economies will depend on there being sufficient investment capacity to
facilitate the privatisation process and a technological contribution to render the privatised enterprises
competitive even if in some cases no private investors may be found.

Can the Commission say whether it is taking significant measures to assist the process of privatisation in
Eastern European candidate states through special incentive measures for entities in the current Member
States of the European Union so that they help the economies of said candidate states thus facilitating their
overall integration into the EU?

Answer given by Mr Verheugen on behalf of the Commission

(20 June 2001)

There are two economic criteria for accession: the country must have a functioning market economy and
it must be able to withstand the competitive pressure within the Community.

With regard to the second of these criteria, the Commission(cid:146)s Agenda 2000 noted that (cid:145)privatisation has
progressed at different rates and the process remains to be completed.(cid:146) (1)