Brussels Brief – February, 2011: Parental Liability – Another Piece in the Puzzle

By on February 1, 2011
Posted In EC Developments

by Andrea L. Hamilton and Wilko van Weert

A recent Decision of the European Court of Justice shows once more that it is still next to impossible for a parent company to rebut the presumption of liability for its subsidiary’s conduct. Nevertheless, companies with subsidiaries operating in the EU would be well-served to consider reinforcing their compliance programmes throughout their groups.  Reinforcing compliance is more likely to reduce competition law risks for parent companies than, for example, a strategy of distancing itself from its subsidiaries.

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