Thursday, July 23, 2015
EC Alleges Competition (Antitrust) Law Violations by Six U.S. Movie Companies
Earlier today, the European Commission issued a Statement of Objections alleging competition (antitrust) law violations against six U.S. companies in the movie business: Disney, Sony, Warner Brothers, NBC Universal, Paramount Pictures, and Twentieth Century Fox, along with a British broadcaster, Sky UK. The companies are accused of limiting European access to programming on pay-TV services, violating European laws that provide for free movement of goods and services throughout the European Union. In the EC's preliminary view, the contract clauses at issue create exclusive territorial restrictions contrary to Article 101 of the Treaty on the Functioning of the European Union. If the companies are ultimately deemed to be in violation, they will likely face stiff penalties.
More details may be found in this European Commission press release.