Court of Justice of the European Union maintain heavy fines in cartel on the airfreight market (1999-2006)

Multiple airlines still have to pay a hefty fine that the European Commission (EC) imposed on 9 November 2010, the General Court of the European Union ruled today (30 March). The carriers participated in a pricing cartel between December 1999 and February 2006, the EC imposed a fine on those carriers in a total amount of € 790 million.

The EC found that the carriers had – during a period of six years – mutual agreements on fuel and security surcharges that were charged to its customers as well as the refusal to pay commission to freight forwarders on those surcharges.

In 2015, the European Court annulled the imposed fine of € 790 million on grounds of internal contradictions likely to undermine the rights of defence of the companies in question and prevent the European Court from conducting its review.

On 17 March 2017, the EC adopted a fresh decision in which it amended the defective statement of reasons identified by the General Court. Once again, the airlines filed an appeal and demanded that the decision be annulled.

Following airlines participated in the cartel: Air Canada, Air France/KLM Group, British Airways, Cargolux, Cathay Pacific, Japan Airlines, Martinair, Singapore Airlines, LATAM Airlines Group, Lan Cargo and SAS (Scandinavian Airlines System). Lufthansa Group (Lufthansa Cargo / SWISS) was also involved but escaped a fine because the company informed the EC about the cartel.

• Martinair Holland € 15.40 million
• SAS / SAS Cargo Group / Scandinavian Airlines System Denmark-Norway-Sweden € 70,02 million
• KLM Royal Dutch Airlines € 127.16 million
• Air Canada € 17.95 million
• Cargolux Airlines International € 79.90 million
• Société Air France € 182.92 million
• Japan Airlines € 28.88 million
• British Airways € 84.46 million
• Cathay Pacific Airways € 47.14 million
• Latam Airlines Group / Lan Cargo € 2.24 million
• Singapore Airlines Cargo € 74.80 million

An appeal, limited to points of law only, may be brought before the Court of Justice against the decision of the General Court within two months of notification of the decision.