ABSTRACT

This chapter presents historical background for the development of the abuse concept. It describes the function of the abuse concept in competition law systems based on administrative control. The chapter examines concept's role in the competition law systems of the Federal Republic of Germany and the European Economic Community, analyzing in detail the factors which affect its interpretation and application. It assesses the role and development of the abuse concept in German and European Community law. The chapter focuses on how meaning is ascribed to the vague notion of abuse. It reveals characteristics of the general process of law creation in the legal systems involved. Defining abuse by the concept of competitive distortion created an principle of interpretation: Any conduct which affected the structure of competition could constitute a violation of article 86. Exploitation abuse, occurs where a dominant firm utilizes economic power to achieve a transactional result that is more advantageous than it could have achieved under the standard.