Summary of Commission Decision of 28 November 2024 relating to a proceeding under Article 101 of the Treaty on the Functioning of the European Union and Article 53 of the EEA Agreement (Case AT.40642 – Pierre Cardin) (notified under document number C(2024) 8150 final)
Date: 2024-11-28
Institutions: Directorate-General for Competition, European Commission
Subjects: EU competition policy, European Economic Area, clothing industry, control of restrictive practices, dominant position, market access, patents licence, restrictive trade practice, sanction (EU)








C_202503014EN.000101.fmx.xml












Official Journal of the European Union


EN
C series













C/2025/3014


28.5.2025






Summary of Commission Decision
of 28 November 2024
         
relating to a proceeding under Article 101 of the Treaty on the Functioning of the European Union and Article 53 of the EEA Agreement
(Case AT.40642 – Pierre Cardin)


(notified under document number C(2024) 8150 final)


(Only the English text is authentic)
(Text with EEA relevance)
(C/2025/3014)


On 28 November 2024, the Commission adopted a decision relating to a proceeding under Article 101 of the Treaty on the Functioning of the European Union and Article 53 of the EEA agreement. In accordance with the provisions of Article 30 of Council Regulation (EC) No 1/2003
          (1)
, the Commission herewith publishes the names of the parties and the main content of the decision, including any penalties imposed, having regard to the legitimate interest of undertakings in the protection of their business secrets.


INTRODUCTION
                   (2)









(1)


The Decision is addressed to the following legal entities (together referred to as the ‘Addressees’): (i) Pierre Cardin Evolution (‘Cardin Evolution’) and its subsidiary Société de Gestion Pierre Cardin (‘Cardin SAS’), together ‘Cardin’; and (ii) Westfälisches Textilwerk Adolf Ahlers Stiftung & Co. KG (‘WTW Ahlers’) (3).












(2)


The Decision imposes a fine on Cardin and WTW Ahlers for a single and continuous infringement of Article 101(1) of the Treaty on the Functioning of the European Union and Article 53(1) of the EEA Agreement committed between 1 January 2008 and 31 March 2021 (‘the Relevant Period’).












(3)


This infringement comprised a range of restrictive clauses included in certain licensing agreements (‘contractual clauses’) and coordinated actions between Cardin and Ahlers (‘coordinated actions’) aimed at restricting out-of-territory passive sales, including online sales, of Pierre Cardin clothing and accessories (‘Pierre Cardin- licensed products’) and sales of such products to retailers offering low prices to consumers in the EEA.





PROCEDURE









(4)


The Commission launched this case following a complaint filed on 25 March 2019 by Malu NV, a Belgian clothing wholesaler (‘the complainant’). In June 2021, the Commission conducted unannounced inspections at WTW Ahlers’ premises in Germany. On 31 January 2022, the Commission initiated formal proceedings.












(5)


On 31 July 2023, the Commission adopted a Statement of Objections (SO). On 30 October 2023, Cardin replied to the SO. On 1 November 2023, WTW Ahlers, […] and […] replied to the SO.












(6)


The Advisory Committee on Restrictive Practices and Dominant Positions issued a favourable opinion on 15 November 2024.












(7)


The Commission adopted the Decision on 28 November 2024.





FACTS


Summary of the infringement









(8)


During the Relevant Period, Cardin and Ahlers put in place a series of agreements and engaged in concerted practices that restricted (i) out-of-territory passive sales of Pierre Cardin-licensed products by Cardin licensees; (ii) out-of-territory passive sales of such products by customers of Cardin licensees; and (iii) the customers to whom Cardin licensees and their customers could sell such products, within the EEA.












(9)


These restrictions were implemented via contractual clauses as well as through coordinated actions by Cardin and Ahlers aimed at ensuring compliance with the contractual clauses by Cardin’s other licensees.












(10)


The contractual clauses were included in licence agreements entered into by (i) Cardin and certain licensees other than Ahlers; (ii) Cardin and Ahlers; and (iii) Ahlers and its sub-licensee.












(11)


The coordinated actions were implemented as follows: first, Ahlers provided information and complained to Cardin about other licensees and/or some of their customers selling into Ahlers’ licensed territories or to low-price retailers therein. Cardin then intervened by either (i) urging other licensees and/or some of their customers to cease such sales into Ahlers’ territories; or (ii) terminating the contracts with the licensees in question. Cardin kept Ahlers informed of such actions.





FINES









(12)


The Decision applies the 2006 Guidelines on Fines (4).





Basic amount of the fine









(13)


During the Relevant Period, Cardin did not sell the goods concerned by the infringement. Its main business was licensing the Pierre Cardin trademark for the manufacture and sale of Pierre Cardin-branded products. Consequently, as a basis for the value of sales, the Commission took the royalties that Cardin collected in exchange for the right to use Pierre Cardin trademarks by the licensees to which the infringement related in the last full business year of Cardin’s participation in the infringement (i.e. 2020).












(14)


As to WTW Ahlers, the Commission determined its value of sales based on the sales made by Ahlers of Pierre Cardin-licensed products in the EEA in the last full business year of its participation in the infringement (i.e. 2020).












(15)


Given that the infringing conduct consisted of vertical restraints and concerned the EEA, the Commission set the proportion of the values of sales to be taken into account at 8 %.





Aggravating or mitigating circumstances









(16)


There are no aggravating or mitigating circumstances in the case.





Deterrence multiplier









(17)


The Commission applied a multiplier of 1, as none of the Addressees had a particularly high turnover beyond the sale of the goods or services (trademark licensing in the case of Cardin) to which the infringement relates.





Turnover cap









(18)


The Commission assessed whether the final amount of the fines to be imposed on the Addressees would exceed 10 % of their respective worldwide turnovers in 2023 and adjusted the fines, where necessary.





Ability to pay









(19)


Following an application claiming Inability to Pay, one of the Addressees received a reduction of its fine and was allowed to pay in instalments.





Final amount









(20)


Pursuant to Article 23(2) of Regulation (EC) No 1/2003, the following fines were imposed:






—


Cardin Evolution and Cardin SAS, jointly and severally liable: EUR 2 237 000
                        










—


WTW Ahlers: EUR 3 500 000.










(1)  
            OJ L 1, 4.1.2003, p. 1. Regulation as amended by Regulation (EC) No 411/2004 (OJ L 68, 6.3.2004, p. 1).

(2)  Parts of the text of this summary have been edited to ensure that confidential information is not disclosed. Those parts are replaced by a non-confidential summary in square brackets or are shown as (…).

(3)  In this summary, WTW Ahlers, […], […] as well as […] are jointly referred to as ‘Ahlers’.

(4)  Guidelines on the method of setting fines imposed pursuant to Article 23(2)(a) of Regulation (EC) No 1/2003 (OJ C 210, 1.9.2006, p. 2).


ELI: http://data.europa.eu/eli/C/2025/3014/oj
ISSN 1977-091X (electronic edition)