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Private Damages Actions: Actual Problems. Numerova Anna Russian-American conference “Consideration of antirust violations by the courts: Russian and foreign experience” July 7-8, 2011 Moscow. Private Damages Actions: Obligatory Elements. Actual damages. Lost profits.
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Private Damages Actions:Actual Problems Numerova Anna Russian-American conference “Consideration of antirust violations by the courts: Russian and foreign experience” July 7-8, 2011 Moscow
Private Damages Actions: Obligatory Elements Actual damages Lost profits The breach of antitrust laws Damages and their size Causality between the breach and damages NOTE: measures for getting lost profits decreasing damages • The breach of antitrust laws • Damages and their size • Causality between the breach and damages
Breach of Antitrust Laws: Actual Cases • Setting monopoly high prices • Unfair competition • Avoiding conclusion of contracts • Overvaluation of transport tariffs • Refusal in providing a permission on conducting the funeral services • Payments for being of railway cars in customs clearance zone
Private Damages Actions: Reasons for Dismissal • “…the plaintiff didn`t confirm by calculations and didn`t submit evidence of unconditional damages…” (FAC Povolzhskiy okrug, №A65-51/2009) • “…the court of the first instance made reasoned conclusion about nonclaim…” (FAC Povolzhskiy okrug, №A65-51/2009) • “…courts made conlusion about the failure of damage evidence and their size…” (SAC RF №VAS-7881/10) • “…the palintiff didn`t prove causality between his damages and non-act of the respondent …” (AC Moscow, №A40-140367/10-7-1194) • “…the fact of buying the goods by the plaintiff … at the price different from the market one … don`t confirm a cause of damages…” (FAC Severo-Zapadniy okrug, №A56-32803/2009)
Private Damages Actions: Success Stories • “…it is not allowed usage of civil rights for competition restriction and abuse of dominance position on the market … protection of violated right is allowed … through indemnity for losses …” (AC Moscow, № А40-2196/11-50-19) • “…the plaintiff`s allegationabout damages caused the breach of antitrust laws in the amount of RUB 3 062 127,18 is reasonable and to be satisfied …” (AC Moscow, № А40-2196/11-50-19) • “…evidence submitted by the plaintiff are sufficient for imposition of liability for damages in the determined size …” (AC Nizhegorodskay oblast, № А43-6764/2007)
Debating the Issues … • Evidence? • “… circumstances of overvalued tariffs were stated , but no circumstances of presence of plaintiff`s damages …” (FAC Povolzhskiy okrug, №A65-51/2009) • “… consideration by the UFAS of officials `actions to be breached the Competition Law doesn`t mean … compensation of damages …” (SAC № VAS-7881/10) • Who does make the market`s analysis? • “…taking into account assessment and comparison … and calculations of the respondent and third parties, the court decided that the price … cannot be determined like a monopoly high price…” (AC Moscow, №A40-146008/10-22-1268)
Possible Development Trends • Guidelines on Calculation of Damages Caused the Breach of Antitrust Laws • Participation of an independent economic expert • Class action • Active position of antimonopoly service in the court hearings
Thank you for your attention! • Anna Numerova, anumerova@alrud.ru • ALRUD Law Firm • 17 Skakovaya Street, 125 040 Moscow Russia • tel.: + 7 495 234 96 92, fax.: + 7 495 956 37 18 • www.alrud.com