Writing Resources
Treaty of the Function of the European Union TEU Article 120 states that member states of the European Union shall defend the Market Economy and free competition The purpose of the competition law is to enable effective competition to promote lower prices good resource allocation and increased prosperity Also make sure that companies do not counteract these purposes The Court of Justice of the European Union CJEU has pronounced these purposes in the case Eco Swiss case number C 126 97 The law has direct applicability and does not only regard to member nations but also companies within the nation For the rules to be applicable it must first of all concern a company that engages in economic activities This the CJEU stated in the case of Höfner case number C 41 90 I this case the German Federal office for Employment the CJEU concluded that although being a public body the German Federal Office for employment could be subject to European competition laws Secondly it must affect the trade between member nations of the European Union In the case of Völk v ÉTS J Vervaecke case number 5 59 the CJEU determined that it is enough that the trade is affected indirect or even potentially In a case regarding a cement cartel in Holland the CJEU found that although the cartel cooperation was within the borders of Holland it was meant to difficult import competition from Belgium
