p. 64815. Horizontal agreements (3): cooperation agreements
- Richard WhishRichard WhishEmeritus Professor of Law at King’s College London
- , and David BaileyDavid BaileyProfessor of Practice in Competition Law at King’s College London
Abstract
This chapter is concerned with horizontal cooperation agreements which might be permitted under EU and UK competition law. Some horizontal agreements can enhance economic efficiency and produce beneficial effects. For example, an agreement between pharmaceutical companies to combine their research and development efforts may enable them to develop new and better drugs more quickly. The European Commission has issued Guidelines on the applicability of Article 101 TFEU to Horizontal Cooperation Agreements which describe the Commission’s approach to the assessment of horizontal cooperation agreements. Chapters 2 to 9 then address in turn the application of Article 101 to: R&D agreements, production agreements, purchasing agreements, commercialisation agreements, information exchange, standardisation agreements, standard terms and sustainability agreements. After a short section on full-function joint ventures, this chapter will follow the structure of the Guidelines, with the exception that the exchange of information, which in some circumstances may be tantamount to a cartel, has already been discussed in chapter 13. This chapter will conclude with a discussion of several types of agreement that are not discussed in the Guidelines but which may be permissible, and with a brief review of the position under UK law.
