CADE Understands That There Was No Anticompetitive Action And Shelved The Lawsuit Against VW, Fiat And Ford

Author:Mr Rhuan Carlos Quintanilha
Profession:Clarke, Modet & Co

The lawsuit filed by the National Association of Auto Parts Manufacturers (Anfape) against automakers Volkswagen, Fiat and Ford for alleged anti-competitive practices was finally shelved after 11 years.

In a decision contrary to the previous recommendation of the CADE Superintendency, counselor Maurício Bandeira Maia voted to close the case, and was accompanied by a majority of the Administrative Court of CADE.

According to Maurcio Maia, the mere exercise of exclusive right derived from protection by Industrial Design Registry does not lead to the conviction of the automakers, independently of the market. Also, according to the counselor, no abusive conduct on the part of the automakers in relation to their Industrial Property rights has been proven.

During the process, the ANFAPE (National Association of Auto Parts Manufacturers), representing the FIAP's, argued that the protection of the Registration of automotive parts should be exercised only in the foremarket, as if this protection was extended to the aftermarket, it would set up the abuse of right with anticompetitive effects. Thus, in proposing judicial and extrajudicial orders, automakers would be aiming to end the production and marketing of "visible parts" protected by Industrial Design Registrations.

Meanwhile, the defense of the automakers claimed that the right of the Registrations should be exercised in the face of FIAP's to recover investments in R & D made by the automakers, encouraging...

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