Belgian Competition Authority's new fining guidelines

Spotlight
15 December 2014

On 26 August 2014 the Belgian Competition Authority (BCA) adopted new guidelines on the method for the calculation of fines for competition infringements. From now on the BCA will take guidance from the European Commission's guidelines when calculating fines.

With this new framework the BCA is seeking to create more uniformity and legal certainty. By applying the European guidelines, it is no longer relevant for the calculation of the fine whether the investigation was carried out by the BCA or the European Commission. The most important effect of the new guidelines is that fines for infringements of long duration will be substantially higher as the multiplier effect for duration will now fully apply. In addition, an extra amount will be added when undertakings are found guilty of so-called "hard core" infringements (price fixing, output limitation and market sharing).

The European Commission's guidelines will be applied differently in three respects to take the Belgian context into account. First, the fine will be computed on the basis of the Belgian turnover to which the infringement directly or indirectly relates. Second, specific rules apply to settlements and leniency pursuant to the leniency notice of the BCA. Finally, the fine will only be increased for repeated offending, where the undertaking has already been sentenced for the same or a similar infringement by the European Commission or a national competition authority of a country neighbouring Belgium (including the United Kingdom).

The new rules apply as of 1 November 2014. The new guidelines do not apply to fines imposed on natural persons. These fines will be computed taking into account the gravity of the infringement, the individual's involvement and other characteristics of the case.