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United Kingdom
Key definition
Article 101 definition

What does Article 101 mean? In practice, Article 101 is the EU competition law rule that bans anti‑competitive agreements and concerted practices—such as cartels, price‑fixing, market‑sharing, bid‑rigging and resale price maintenance—where they prevent, restrict or distort competition and affect trade between EU member States. It covers agreements between undertakings, decisions of associations of undertakings and informal coordination; the test is whether the conduct has an anti‑competitive object or effect. The rule is set out in Article 101 TFEU and developed by Court of Justice case law. Prohibited agreements are void and can attract fines and damages claims. Exemptions may apply under Article 101(3) where...

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CJEU confirms royalties payable under patent licence despite revocation or non‑infringement where licensee can terminate on reasonable notice (Genentech, C‑567/14) — Article 101 TFEU

Practice notes
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CASE HUB ARCHIVED –this archived case hub reflects the position at the date of the decision of 7 July 2016; it is no longer maintained. See further: timeline and related/similar cases

Case facts

Outline

National reference by the French Cour d’appel de Paris to the Court of Justice seeking a preliminary ruling under Article 267 TFEU on whether, under Article 101 TFEU, Genentech could be required to pay royalties for licensed technology where the relevant patent had been revoked. On 7 July 2016, the Court of Justice concluded that Article 101 TFEU does not bar a royalty obligation, even when the licensee’s conduct would not constitute infringement of the patented technology, provided the licensee retained the unfettered ability to terminate the licence on reasonable notice...

Latest development

On 7 July 2016, the Court of Justice handed down its judgment, holding that Article 101 TFEU does not prevent an obligation to pay royalties, including in situations where the Beneficiary of the patent licence is not infringing the technology, so long as the licensee could freely bring the agreement to an end by giving reasonable notice...

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