CUSTOMERS WILL OBVIOUSLY PREFER TO DO BUSINESS WITH A SUPPLIER IN THEIR AREA WHO CAN MEET THEIR SERVICING NEEDS . FOR THESE REASONS WE DO NOT CONSIDER THAT ANY COMPANY IN THE HUGIN GROUP IS ACTING IN BREACH OF ARTICLE 85 OF THE TREATY OF ROME . '
( F ) ' IN VIEW OF THE FIGURES SET OUT IN THE REPLY TO QUESTION 6 WE DO NOT CONSIDER THAT HUGIN OCCUPIES A DOMINANT POSITION IN THE EEC AND CERTAINLY DO NOT CONSIDER THAT IT ABUSES THE POSITION WHICH IT HOLDS . THE MARKET IS EXTREMELY COMPETITIVE AND IT IS IN THE INTERESTS OF HUGIN CUSTOMERS THAT HUGIN IS NOT COMPELLED TO PERMIT A FIRM WHICH IS NOT AN AUTHORIZED DEALER TO SERVICE ITS PRODUCTS . '
IN REPLY TO A FURTHER REQUEST FOR INFORMATION FROM THE COMMISSION DATED 2 MARCH 1977 HUGIN UK FORWARDED TO THE COMMISSION ON 12 MAY 1977 COPIES OF THE DISTRIBUTION AGREEMENTS ENTERED INTO OR RENEWED WITH ITS AUTHORIZED DEALERS IN IRELAND IN 1971 , ITALY IN 1976 AND THE NETHERLANDS IN FEBRUARY 1972 . IN EACH CASE CLAUSE 3 OF THE AGREEMENT INCLUDES THE FOLLOWING UNDER THE HEADING ' THE DUTIES OF THE DISTRIBUTOR ' :
' THE DISTRIBUTOR AGREES NOT TO SELL OR OFFER FOR SALE EITHER DIRECTLY OR INDIRECTLY THE PRODUCTS OUTSIDE THE THE TERRITORY AND AGREES TO IMMEDIATELY REFER TO THE MANUFACTURER ALL INQUIRIES CONCERNING THE PRODUCTS FROM PROSPECTIVE PURCHASERS OUTSIDE THE TERRITORY . THE DISTRIBUTOR AGREES NOT TO SELL OR OFFER FOR SALE EITHER DIRECTLY OR INDIRECTLY THE PRODUCTS TO ANYBODY WITHIN THE TERRITORY , IF HE HAS REASON TO BELIEVE THAT THE PURCHASER INTENDS TO BRING THE PRODUCTS OUTSIDE THE TERRITORY . '
EACH CONTRACT ALSO REQUIRES THE DISTRIBUTOR AT ITS OWN EXPENSE TO MAINTAIN A STOCK OF SPARE PARTS AND TO PROVIDE AN EXPERT ORGANIZATION TO SERVICE AND REPAIR ALL CASH REGISTERS SOLD IN THE TERRITORY . IT IS NOT STATED THAT THIS OBLIGATION IS TEMPORARY . ONLY IN THE CASE OF THE IRISH AND DUTCH DISTRIBUTOR IS THERE ANY REFERENCE TO TRAINING BY HUGIN AB AND THAT IS LIMITED TO WHAT IS DESCRIBED AS THE ' FACTORY TRAINING ' OF AN EXPERIENCED MECHANIC AT REASONABLE INTERVALS .
ON 15 JUNE 1977 , IN ITS REPLY TO THE STATEMENT OF OBJECTIONS IN THIS CASE , HUGIN AB CONFIRMED THAT IT DOES NOT SUPPLY SPARE OUTSIDE ITS OWN DISTRIBUTION NETWORK AND THAT THE REASONS THEREFOR ARE BASED ON THE PRACTICAL REASONS THAT :
( A ) HUGIN HAS NEVER BEEN ENGAGED IN THE SALE OF SPARE PARTS FOR CASH REGISTERS AS A PRODUCT SEPARATE FROM CASH REGISTERS ;
( B ) SPARE PARTS ARE AN INTEGRATED PART OF SERVICE AND MAINTENANCE ;
( C ) THERE HAS NOT BEEN A MEANINGFUL DEMAND FOR SPARE PARTS SEPARATE FROM MAINTENANCE SERVICE ;
( D ) STOCKS OF SPARE PARTS ARE LIMITED TO THE KNOWN NEEDS UNDER GUARANTEES , CONTRACTS AND SERVICE ARRANGEMENTS .
IN ADDITION TO THE PRACTICAL REASONS , HUGIN