[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-seo-191158-105":3,"detail-sidebar-cat-1-en-105":81,"doc-detail-191158-en":127},{"code":4,"msg":5,"data":6},0,"ok",{"site_id":7,"language":8,"slug":9,"title":10,"keywords":11,"description":12,"schema_data":13,"social_meta":74,"head_meta":76,"extra_data":78,"updated_unix":80},105,"en","pricing-policymotor-vehicles-the-vw-case-fines-and-block-exemption-analysis","PRICING POLICY(MOTOR VEHICLES) - THE VW CASE - Fines and Block Exemption Analysis","","Pricing Policy (Motor Vehicles): The VW Case summarizes a European Commission enforcement decision against Volkswagen AG for instructing German dealers in 1996 and 1997 to apply “price discipline” and avoid selling the new Passat at prices substantially below the recommended retail price. Measures limiting discounts are treated as a “hard core” restriction that infringes Article 81(1) of the EC Treaty and conflicts with the relevant motor-vehicle block exemption. The decision imposes a €30.96 million fine and highlights resale price maintenance as incompatible with dealer pricing freedom and consumer competition.",{"@graph":14,"@context":73},[15,34,56],{"@type":16,"itemListElement":17},"BreadcrumbList",[18,23,27,31],{"item":19,"name":20,"@type":21,"position":22},"https://docshare.wps.com","Home","ListItem",1,{"item":24,"name":25,"@type":21,"position":26},"https://docshare.wps.com/template/","Template",2,{"item":28,"name":29,"@type":21,"position":30},"https://docshare.wps.com/template/general/","General",3,{"item":32,"name":10,"@type":21,"position":33},"https://docshare.wps.com/template/pricing-policymotor-vehicles-the-vw-case-fines-and-block-exemption-analysis/191158/",4,{"url":32,"name":10,"@type":35,"image":36,"author":41,"headline":10,"publisher":44,"fileFormat":47,"inLanguage":8,"description":12,"dateModified":48,"datePublished":49,"encodingFormat":47,"isAccessibleForFree":50,"interactionStatistic":51},"DigitalDocument",{"url":37,"@type":38,"width":39,"height":40},"https://docshare.wps.com/thumbnails/pricing-policymotor-vehicles-the-vw-case-fines-and-block-exemption-analysis/191158.png","ImageObject",442,249,{"name":42,"@type":43},"Adam","Person",{"url":19,"name":45,"@type":46},"DocShare","Organization","application/pdf","2026-10-01","2026-09-03",true,{"@type":52,"interactionType":53,"userInteractionCount":55},"InteractionCounter",{"@type":54},"ViewAction",6,{"@type":57,"mainEntity":58},"FAQPage",[59,65,69],{"name":60,"@type":61,"acceptedAnswer":62},"What did the European Commission fine Volkswagen AG for?","Question",{"text":63,"@type":64},"The Commission imposed a €30.96 million fine for instructing German Volkswagen dealers in 1996 and 1997 to show “price discipline” and not sell the new Passat at prices considerably below the recommended retail price.","Answer",{"name":66,"@type":61,"acceptedAnswer":67},"Why were the discount-limiting measures considered illegal under competition rules?",{"text":68,"@type":64},"The measures aimed at limiting discounts were treated as a “hard core” restriction of competition that infringes Article 81(1) of the EC Treaty and is incompatible with the block exemption for motor vehicle distribution.",{"name":70,"@type":61,"acceptedAnswer":71},"How does the case relate to block exemption and dealer pricing freedom?",{"text":72,"@type":64},"The Commission stated the protection of dealers’ freedom to set their own prices is a key element of the motor vehicle block exemption. Volkswagen’s actions were viewed as a restriction of that freedom and a serious infringement of European competition rules.","https://schema.org",{"og:url":32,"og:type":75,"og:title":10,"og:site_name":45,"og:description":12},"article",{"robots":77,"canonical":32},"index,follow",{"doc_id":79,"site_id":7},191158,1788406950,{"code":4,"msg":82,"data":83},"success",[84,89,94,99,104,109,114,119,124],{"id":85,"doc_module":22,"doc_module_name":25,"category_name":86,"show_sort_weight":87,"slug":88},11,"Presentations",90,"presentations",{"id":90,"doc_module":22,"doc_module_name":25,"category_name":91,"show_sort_weight":92,"slug":93},12,"Resumes",80,"resumes",{"id":95,"doc_module":22,"doc_module_name":25,"category_name":96,"show_sort_weight":97,"slug":98},14,"Invoices",70,"invoices",{"id":100,"doc_module":22,"doc_module_name":25,"category_name":101,"show_sort_weight":102,"slug":103},15,"Posters",60,"posters",{"id":105,"doc_module":22,"doc_module_name":25,"category_name":106,"show_sort_weight":107,"slug":108},16,"Social Media",50,"social-media",{"id":110,"doc_module":22,"doc_module_name":25,"category_name":111,"show_sort_weight":112,"slug":113},17,"Forms",40,"forms",{"id":115,"doc_module":22,"doc_module_name":25,"category_name":116,"show_sort_weight":117,"slug":118},18,"Letters",30,"letters",{"id":120,"doc_module":22,"doc_module_name":25,"category_name":121,"show_sort_weight":122,"slug":123},21,"Paper Templates",5,"papers-templates",{"id":125,"doc_module":22,"doc_module_name":25,"category_name":29,"show_sort_weight":4,"slug":126},158,"general-158",{"code":4,"msg":82,"data":128},{"doc_id":79,"user_id":129,"nickname":42,"user_avatar":130,"doc_module":22,"category_id":125,"category_name":29,"doc_title":10,"doc_description":12,"doc_content":131,"file_id":132,"file_url":133,"file_type":134,"file_size":135,"view_count":55,"is_deleted":4,"is_public":22,"is_downloadable":22,"audit_status":22,"page_count":30,"language":136,"language_code":8,"site_id":7,"html_lang":8,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":12,"update_tm":80,"read_time":22},1374404737137,"https://ap-avatar.wpscdn.com/davatar_155a257f0dc6eb9ab79c44ca47cae57d","PRICING POLICY(MOTOR VEHICLES):THE VW CASE  \nSubject:  \nPricing policy  \nFines  \nBlock exemption  \n# Industry:Motor vehicles(Some implications for other industries)\n\nVolkswagen AG  \nParties:  \nCommission Statement IP/01/760,dated 30 May 2001  \nSource:  \n(Note.The vocabulary of anti-trust law now includes the expression\"pricediscipline”,which falls short of outright price fixing but can earn a substantial finefrom the Commission.Having run up against the competition rules in Italy,Volkswagen has now been held to have infringed the rules in Germany.In thepresent case,VWhad taken the view that the action of some dealers who reducedprices below the recommended retail price jeopardized the brand image of themodels in question.But VW threatened sanctions against some of its dealers;andits actions were caught not only by the general prohibition of price-fixing in theEC Treaty itself,but also by the \"black-list\"provisions of the block exemptionregulation on motor vehicle distribution.Even if the case had not concernedmotor vehicles,it would have been caught by the corresponding provision of theblock exemption regulation on vertical restraints.)  \nThe Commission has decided to impose a fine of e30.96m on Volkswagen AG,the biggest German,and European,car manufacturer,for having instructed itsGerman Volkswagen dealers in 1996 and 1997 to show “price discipline”and notto sell the new Passat at prices considerably below the recommended retail price.This is the second Commission decision against Volkswagen,and follows thattaken in January 1998.(The 1998 decision found that Volkswagen and its Italianimporter had obstructed re-exports of Volkswagen and Audi cars from Italy intoother Member states,in particular Germany and Austria.This decision has beenlargely confirmed by the European Court of First Instance,in its judgment of 6July 2000;the fine of e102m,reduced to E90m by the Court,is one of the highestever imposed on a single company.)  \nMeasures taken to limit discounts aim at fixing retail prices and represent a so-called “hard core”restriction of competition:they infringe Article 81(1)of the ECTreaty,which prohibits price fixing measures,and are incompatible with theblock exemption regulation applicable to motor vehicle distribution.(Measuresof price fixing also figure as a hard core restriction of competition in Article 4(a)of the new general block exemption regulation on vertical restraints(CommissionRegulation EC/2790/1999 of 22 December 1999),which applies to alldistribution agreements except for distribution agreements concerning motorvehicles to which Regulation EC/1475/95 applies.)  \nPrice comparisons over the last few years have shown that in Germany,new carprices before taxes for models of the Volkswagen brand are substantially higherthan in all other Member States.except the United Kingdom.(See,for example,the Commission's most recent Report on Car Prices within the European Union.)\"Today's decision is once again a clear signal that competition policy servesconsumers'interests.It is the first decision regarding resale price maintenance andconfirms,in the area of vertical restraints,the Commission's strict policy on pricefixing practices,\"said Competition Commissioner Mario Monti.\"Unfortunatelythis case is also a further example of non-respect of the Block ExemptionRegulation.The measures adopted by Volkswagen represent a clear restriction ofdealers'reedom to set their own prices,and were aimed at changing theircommercial behaviour to the detriment not only of German consumers,but alsoof those from other Member States.The measures,which aimed at maintainingprices at an artificially high level in a market where new car prices are alreadyamong the highest in Europe,constitute by their nature a very seriousinfringement of European competition rules and must be met with an appropriatesanction\".The Commissioner added that the protection of the dealers'freedomto set their prices was one important element of the current motor vehicle ","cbCaibq75sMU0UT7","https://ap.wps.com/l/cbCaibq75sMU0UT7","pdf",141634,"English","# Industry: Motor vehicles (Some implications for other industries)\n## Subject: Pricing policy\n## Fines\n## Block exemption\n## Commission decision and legal reasoning\n## Dealer instructions and evidence\n## Consumer competition impact","[{\"question\":\"What did the European Commission fine Volkswagen AG for?\",\"answer\":\"The Commission imposed a €30.96 million fine for instructing German Volkswagen dealers in 1996 and 1997 to show “price discipline” and not sell the new Passat at prices considerably below the recommended retail price.\"},{\"question\":\"Why were the discount-limiting measures considered illegal under competition rules?\",\"answer\":\"The measures aimed at limiting discounts were treated as a “hard core” restriction of competition that infringes Article 81(1) of the EC Treaty and is incompatible with the block exemption for motor vehicle distribution.\"},{\"question\":\"How does the case relate to block exemption and dealer pricing freedom?\",\"answer\":\"The Commission stated the protection of dealers’ freedom to set their own prices is a key element of the motor vehicle block exemption. Volkswagen’s actions were viewed as a restriction of that freedom and a serious infringement of European competition rules.\"}]","PRICING POLICY(MOTOR VEHICLES) - THE VW CASE - Fines and Block Exemption Analysis | PDF"]