Global competition law framework: A private international law solution needed

Abstract

There are a significant number of national competition law systems which prohibit anti-competitive behaviour. The cross-border nature of many antitrust/competition law infringements leaves no doubt that parallel and related competition law proceedings will arise. Competition laws enjoy public policy character, and as a result are regarded as mandatory provisions of the forum. The extra-territorial application of mandatory antitrust law provisions does suggest that different sets of competition laws may be applicable depending on where the competition law proceedings are taking place. Since there may often be a conflict of competition laws, there are complex issues which must be addressed in a global context. This article demonstrates that a private international law tool, which aims to preserve the diverse national competition law cultures, may be used as a new mode of governance in a global context. Such an instrument could/should take account of the competition laws of the countries that have legitimate interests to regulate the relevant business activities. Given the high costs for achieving harmonised competition laws in a global context, agreeing upon a private international law instrument with a view to coordinating cross-border competition law proceedings may be a more realistic objective to be pursued by the international community.