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Danish Supreme Court Rules Against Deutz and Diesel Motor Nordic for Antitrust Violations

02.12.2024 | 🇩🇰 Danish competition authority

The Danish Supreme Court has found that German engine manufacturer Deutz and its Danish dealer Diesel Motor Nordic violated competition laws by abusing their dominant position and entering into anti-competitive agreements.


The Danish Supreme Court has ruled that Deutz, a German engine manufacturer, and its Danish dealer, Diesel Motor Nordic, breached competition laws by engaging in anti-competitive practices. The court confirmed that Deutz misused its dominant market position and entered into a restrictive agreement with Diesel Motor Nordic, which hindered competition and harmed other market players.

The case originated in 2010 when Deutz and Diesel Motor Nordic obstructed the Danish company Fleco from obtaining essential Deutz spare parts needed for the renovation of DSB's IC3 trains. This obstruction forced DSB to purchase parts at inflated prices from Diesel Motor Nordic, leading to delays in train repairs and significant inconvenience for passengers.

The court highlighted that Deutz's actions included systematic denial of supply to Fleco and efforts to prevent parallel imports, which ultimately pressured DSB into unfavorable purchasing decisions. Evidence presented showed that Diesel Motor Nordic had concealed spare parts to protect its business interests with DSB, further demonstrating the anti-competitive nature of their agreement.

The ruling also addressed the vertical group exemption regulation from the European Commission, clarifying that agreements limiting passive sales and hindering parallel trade cannot be exempted under this regulation. This interpretation aligns with the Commission's stance, which was notably involved in the case, marking a significant moment in Danish competition law.

The case has been ongoing since 2013, with multiple appeals and decisions from various Danish courts, culminating in this landmark ruling by the Supreme Court. The Competition and Consumer Authority had previously reported the companies to the police for criminal prosecution, pending the final determination of the violations.

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