ABSTRACT
First, prior to the overhaul (which decentralised the enforcement of EU competition law) national courts could apply Articles 101(1) and 102 TFEU, as both have direct effect, but not Article 101(3) TFEU. As a result of Regulation 1/2003 the Commission has relinquished its exclusive power to grant exemptions under Article 101(3) TFEU. This article has become directly effective and can be applied by NCAs and national courts. The major implication for undertakings is that the previous system of notification under Article 101(3) TFEU has been abolished. If an agreement satisfies the requirements of Article 101(3) TFEU, it is valid and enforceable ab initio. It is for the undertaking concerned to assess whether this is the case and, if necessary, to defend its assessment before national courts and NCAs.
