Commission investigates refusal by luxury watch manufacturers to supply spare parts to independent repairers
The European Commission has opened formal anti-trust proceedings to investigate an alleged refusal by several luxury watch manufacturers to supply spare parts to independent repairers. These proceedings does not imply that the Commission has conclusive proof of an infringement. It only means that the Commission will investigate the case as a matter of priority.
The Commission has opened anti-trust proceedings after a General Court judgment which annulled the Commission's decision to reject a complaint lodged by the European Confederation of Watch & Clock Repairers' Associations (CEAHR). The complaint was presented in 2004 alleging that luxury watch manufacturers were in breach of EU competition law. According to the complainant, from 2002, watch manufacturers began to refuse to supply spare parts to repairers that did not belong to their selective systems for repair and maintenance whereas luxury watches had previously traditionally been repaired by independent multi-brand repairers. CEAHR's complaint alleges that since there are no alternative sources for most of these spare parts, this practice threatens to drive independent repairers out of business.
After its investigation, the Commission decided to reject this complaint for lack of community interest in 2008. In December 2010, the General Court annulled the Commission's decision to reject CEAHR's complaint, mainly because the Commission did not sufficiently motivate why it concluded that there was a not enough Community interest to pursue the investigation.
Therefore, the Commission will now further investigate the allegations, in order to take account of the General Court ruling and informed the parties concerned and the competition authorities of the Member States that it has opened proceedings in this case.