EUR-Lex - 31978D0068 - EN

SUCH CONDUCT AMOUNTS TO AN ABUSE OF A DOMINANT POSITION , WHERE IT CAUSES COMPETITION TO BE SUBSTANTIALLY RESTRICTED AND TRADE BETWEEN MEMBER STATES TO BE AFFECTED APPRECIABLY .

HUGIN AB , BOTH DIRECTLY AND THROUGH ITS SUBSIDIARIES , HAS ABUSED ITS DOMINANT POSITION IN THE COMMON MARKET IN EACH OF THE WAYS DESCRIBED ABOVE IN A MANNER LIKELY TO STRENGTHEN AND CONSOLIDATE ITS DOMINANT POSITION .

( A ) THE STATED POLICY OF HUGIN AB IS THAT SPARE PARTS FOR HUGIN CASH REGISTERS ARE ONLY DELIVERED TO ITS OWN SUBSIDIARIES AND ITS OWN AUTHORIZED DEALERS FOR THEIR OWN USE AND ARE NOT FOR RESALE . FROM THE MOMENT , THEREFORE , THAT A CASH REGISTER USER PURCHASES A HUGIN CASH REGISTER , THE RESULT OF HUGIN ' S REFUSAL TO SUPPLY IS TO MAKE THE USER IN QUESTION TOTALLY DEPENDENT ON HUGIN AB FOR THE SUPPLY OF SPARE PARTS AND , IN EFFECT , FOR THE MAINTENANCE AND REPAIR OF THAT MACHINE . PURCHASERS AND USERS ARE THEREBY PREVENTED FROM PURCHASING SUCH SPARE PARTS FROM ANY OTHER SOURCE AND ARE IN ADDITION THEREBY ALSO DEPRIVED OF THEIR FREEDOM TO CHOOSE WHERE THEY WILL OBTAIN THE MAINTENANCE AND REPAIR OF THEIR MACHINES .

LIPTONS ALLEGE , AND HUGIN AB DOES NOT DISPUTE THIS , THAT THE MAINTENANCE AND REPAIR OF HUGIN CASH REGISTERS IS WITHIN THE COMPETENCE OF ANYONE HAVING THE SKILL TO MAINTAIN AND REPAIR COMPETITIVE CASH REGISTERS AND PROVIDED THAT THEY HAVE EXPERIENCE AND TRAINING IN THE REPAIR OF SUCH MACHINES . NO OTHER JUSTIFICATION HAS BEEN OFFERED FOR THE REFUSAL TO SUPPLY SPARE PARTS . THERE IS THEREFORE NO VALID OBJECTIVE REASON FOR DEPRIVING COMPANIES SUCH AS LIPTONS , WHICH HAVE THE REQUISITE SKILLS AND TRAINING , FROM COMPETING WITH HUGIN AB , ITS SUBSIDIARIES AND AUTHORIZED DEALERS IN THE MAINTENANCE AND REPAIR OF HUGIN CASH REGISTERS NOR FOR DEPRIVING THE OWNERS AND USERS OF SUCH MACHINES FROM HAVING ACCESS TO SUCH INDEPENDENT SOURCES OF MAINTENANCE AND REPAIR . SUCH REFUSAL THROUGHOUT THE COMMON MARKET THEREFORE CONSTITUTES AN ABUSE OF HUGIN AB ' S DOMINANT POSITION IN THAT IT RESTRICTS EFFECTIVE COMPETITION . THE REFUSAL TO SUPPLY ALSO RESTRICTS TRADE IN RECONDITIONED HUGIN CASH REGISTERS WHICH COMPETE WITH NEW HUGIN CASH REGISTERS .

( B ) WITH REGARD TO LIPTONS THE CONDUCT OF HUGIN AB AND HUGIN UK IS AN ABUSE IN THAT LIPTONS WAS IN 1972 A PRINCIPAL CUSTOMER FOR SPARE PARTS AND HAD BEEN A CUSTOMER FOR SPARE PARTS FOR OVER 12 YEARS AND THAT THE REFUSAL TO SUPPLY AMOUNTED TO A WITHDRAWAL OF SUPPLIES WHICH HAD THE RESULT OF REMOVING A MAJOR COMPETITOR IN THE MATTER OF SERVICE , MAINTENANCE , REPAIR AND THE SUPPLY OF RECONDITIONED MACHINES FROM A SUBSTANTIAL PART OF THE COMMON MARKET . NOT ONLY HAD LIPTONS BEEN THE MAIN DISTRIBUTOR FOR HUGIN GB IN ENGLAND , SCOTLAND AND WALES , BUT IT HAD STARTED A SUBSTANTIAL BUSINESS IN ITS OWN RIGHT OF RENTING OUT OF HUGIN CASH REGISTERS IN WHICH IT HAD INVESTED A CONSIDERABLE SUM OF MONEY . LIPTONS WAS ALSO QUALIFIED TO SERVICE , MAINTAIN AND REPAIR SUCH MACHINES , AND THIS BUSINESS AS IT RELATES TO NEW MACHINES HAS CEASED AS A RESULT OF HUGIN ' S REFUSAL TO SUPPLY SPARE PARTS . LIPTONS IS NOW NO LONGER IN A POSITION TO BUY THE NECESSARY SPARE PARTS FOR THE MAINTENANCE AND REPAIR OF HUGIN CASH REGISTERS FOR CUSTOMERS REQUIRING THAT SERVICE , NOR TO UNDERTAKE THAT SERVICE IN RESPECT OF NEW MACHINES IT MIGHT WISH TO RENT TO ITS CUSTOMERS , NOR , TO A LARGE EXTENT , TO MEET ITS COMMITMENTS TO EXISTING CUSTOMERS . IN ADDITION LIPTONS IS SEVERELY RESTRAINED IN THE BUSINESS IT HAD CARRIED ON FOR OVER 12 YEARS IN RECONDITIONING HUGIN CASH REGISTERS FOR RESALE .

LIPTONS HAS ACCORDINGLY BEEN FORCED GRADUALLY TO WITHDRAW FROM THESE BUSINESSES IN WHICH IT HAD INVESTED TIME AND MONEY AND HAD ESTABLISHED A STRONG BASIS FOR PROFITABLE EXPANSION . WITHOUT A SUPPLY OF SPARE PARTS LIPTONS WILL EVENTUALLY BE ELIMINATED AS A COMPETITOR IN ALL THESE LINES OF BUSINESS . THE FACT THAT LIPTONS HAS CEASED TO BE A DISTRIBUTOR OF HUGIN CASH REGISTERS DOES NOT IN THE CIRCUMSTANCES AMOUNT TO A VALID OBJECTIVE REASON FOR REFUSING TO SUPPLY SPARE PARTS AS THE BUSINESS CREATED BY THE ' MAIN AGENCY ' AGREEMENT IS SEPARATE FROM THE OTHER BUSINESS OF SERVICING , MAINTAINING , REPAIRING , RENTING OUT AND RECONDITIONING HUGIN CASH REGISTERS WHICH LIPTONS UNDERTOOK IN ITS OWN RIGHT BOTH BEFORE , DURING AND , TO SOME EXTENT , AT LEAST UNTIL SUPPLIES OF SPARE PARTS CEASED , AFTER THE AGREEMENT WAS IN FORCE .

( C ) AS A RESULT OF ITS POLICY OF NOT SUPPLYING SPARE PARTS OUTSIDE ITS OWN NETWORK , HUGIN AB ALSO ABUSED ITS DOMINANT POSITION BY PROHIBITING ITS SUBSIDIARIES IN FRANCE , BELGIUM , GERMANY AND THE UNITED KINGDOM , AND ITS INDEPENDENT DISTRIBUTORS IN IRELAND , ITALY AND THE NETHERLANDS FROM SUPPLYING SPARE PARTS OUTSIDE THE HUGIN DISTRIBUTION NETWORK . THE LETTERS FROM THESE COMPANIES CLEARLY ESTABLISH THAT SUCH A PROHIBITION WAS IN FORCE AT THE TIME LIPTONS ENDEAVOURED TO OBTAIN SPARE PARTS FROM HUGIN AB ITSELF AND FROM THE SUBSIDIARIES AND THE DISTRIBUTORS REFERRED TO ABOVE . SUCH CONDUCT SHELTERS HUGIN AB FROM ALL EFFECTIVE COMPETITION IN THE MATTER OF SERVICE , MAINTENANCE AND REPAIR OF HUGIN CASH REGISTERS AND FROM COMPETITION FROM RECONDITIONING AND RENTED HUGIN CASH REGISTERS THROUGHOUT THE COMMON MARKET .

THE REASONS GIVEN BY HUGIN FOR ITS REFUSAL TO SUPPLY LIPTONS ARE NOT OBJECTIVELY SUFFICIENT TO JUSTIFY SUCH REFUSAL . EVEN IF IT WERE CORRECT THAT A HUGIN CASH REGISTER WAS A PRODUCT OF SUCH COMPLEXITY AS TO REQUIRE SPECIAL TRAINING BEYOND THAT REQUIRED FOR ANY OTHER MECHANICAL , ELECTRO-MECHANICAL OR ELECTRONIC PRODUCT OF A SIMILAR KIND WHICH , IN VIEW OF THE EVIDENCE AVAILABLE , THE COMMISSION DOES NOT ACCEPT , IT WOULD STILL NOT JUSTIFY HUGIN FROM WITHDRAWING SUPPLIES OF SPARE PARTS FROM LIPTONS AT A TIME WHEN IT CLEARLY WAS IN POSSESSION OF THE NECESSARY SKILLS . HUGIN CANNOT , THEREFORE , RELY ON THE FACT THAT BECAUSE OF THE LAPSE OF TIME SINCE THE REFUSAL TO SUPPLY LIPTONS MAY HAVE LOST THOSE SKILLS IF SUCH LOSS IS THE RESULT OF THE DELIBERATE ACT OF HUGIN AB . NEITHER CAN THE ARGUMENT THAT THERE IS NO MARKET FOR SPARE PARTS BE ACCEPTED SINCE LIPTONS WAS SUPPLIED WITH SUCH SPARE PARTS FOR A PERIOD IN EXCESS OF 12 YEARS AT THE TIME WHEN THE SUPPLY OF SPARE PARTS WAS WITHDRAWN BY HUGIN . LIPTONS HAS SPENT MORE THAN FIVE YEARS SEEKING TO OBTAIN SUCH SPARE PARTS FROM HUGIN UK , HUGIN AB AND THE OTHER HUGIN COMPANIES AND DISTRIBUTORS THROUGHOUT THE COMMON MARKET .

FURTHERMORE , THE FACT THAT THE SYSTEM OF DISTRIBUTION OF HUGIN CASH REGISTERS MIGHT BE REGARDED AS A SYSTEM OF SELECTED DISTRIBUTION IS NOT IN ITSELF A VALID AND OBJECTIVE REASON FOR REFUSING TO SUPPLY SPARE PARTS TO OTHER COMPANIES . THE CRITERIA FOR THE SELECTION OF DISTRIBUTORS OF A PRODUCT SUCH AS CASH REGISTERS ARE NOT NECESSARILY THE CRITERIA APPROPRIATE FOR SELECTING COMPETENT AND QUALIFIED ENTERPRISES WHO WISH TO SERVICE THE PRODUCT AND WHO NEED SPARE PARTS IN ORDER TO DO SO . ALSO , IN SO FAR AS AN ENTERPRISE IN THE POSITION OF LIPTONS HAS RIGHTS UNDER COMMUNITY LAW TO CONTINUED SUPPLY OF SPARE PARTS , IT CANNOT BE DEPRIVED OF THESE RIGHTS BY CONTRACTS MADE BETWEEN THE MANUFACTURERS AND THIRD PARTIES .

THE ABSUES BY HUGIN AB OF ITS DOMINANT POSITION APPRECIABLY AFFECT TRADE BETWEEN MEMBER STATES . THE PROHIBITION ON THE EXPORT OF SPARE PARTS FROM ALL MEMBER STATES TO ANY FIRM OTHER THAN AN AUTHORIZED DEALER DIRECTLY AFFECTS TRADE BETWEEN MEMBER STATES . THE REFUSAL BY HUGIN SUBSIDIARIES AND THE HUGIN DISTRIBUTOR IN OTHER MEMBER STATES TO SUPPLY LIPTONS WAS A RESULT OF HUGIN AB ' S COMMUNITY-WIDE POLICY AND AFFECTED TRADE BETWEEN THE UNITED KINGDOM AND THE MEMBER STATES INVOLVED . EVEN IF THE PROHIBITION IS REMOVED IN THE MANNER PROPOSED BY HUGIN AB , ITS POLICY OF REFUSING TO PERMIT SUPPLIES OF SPARE PARTS TO INDEPENDENT COMPANIES , SUCH AS LIPTONS , STILL EXISTS AND AFFECTS TRADE BETWEEN MEMBER STATES . HUGIN AB IS THEREBY PREVENTING LIPTONS FROM CARRYING ON ITS BUSINESS OF MAINTENANCE , REPAIR , RENTING OUT AND RECONDITIONING HUGIN CASH REGISTERS . LIPTONS HAS BEEN PREVENTED FROM CONTINUING TO EXPAND ITS BUSINESS WITHIN A SUBSTANTIAL PART OF THE COMMON MARKET AND IS UNABLE TO PURCHASE SPARE PARTS FROM OTHER MEMBER STATES . DUE TO THE SIZE OF HUGIN AB ' S SHARE OF THE OVERALL MARKET FOR CASH REGISTERS , THE DISTRIBUTION SYSTEM PRACTISED BY HUGIN AB UNDER WHICH ONLY DEALERS ARE SUPPLIED WITH SPARE PARTS TOGETHER WITH THE PROHIBITION IMPOSED ON SUCH DEALERS ON SELLING SPARE PARTS OUTSIDE THE HUGIN NETWORK , PREVENT THE OPERATION OF INDEPENDENT SERVICING COMPANIES ANYWHERE IN THE COMMON MARKET , AND HAS AN APPRECIABLE EFFECT ON THE STRUCTURE OF COMPETITION WITHIN THE COMMON MARKET .

B . APPLICABILITY OF ARTICLE 3 ( 1 ) OF REGULATION NO 17

UNDER ARTICLE 3 ( 1 ) OF REGULATION NO 17 , THE COMMISSION MAY , IF IT FINDS , ON APPLICATION OR ON ITS OWN INITIATIVE , THAT THERE HAS BEEN AN INFRINGEMENT OF ARTICLE 85 OR 86 OF THE TREATY , REQUIRE BY DECISION THAT THE UNDERTAKINGS OR ASSOCIATIONS OF UNDERTAKINGS CONCERNED SHOULD BRING SUCH INFRINGEMENT TO AN END .

THE COMMISSION CONSIDERS , ON THE BASIS OF THE CONSIDERATIONS REFERRED TO ABOVE , THAT HUGIN AB AND ITS SUBSIDIARY HUGIN UK HAVE INFRINGED ARTICLE 86 OF THE EEC TREATY . THE COMMISSION ACCORDINGLY REQUIRE HUGIN AB TO BRING SUCH INFRINGEMENT TO AN END WITHOUT DELAY .

WITH REGARD TO THE MANNER IN WHICH SUCH INFRINGEMENT SHOULD BE BROUGHT TO AN END , THE COMMISSION CONSIDERS THAT HUGIN UK SHOULD TAKE IMMEDIATE STEPS TO ENSURE THAT SUPPLIES OF HUGIN SPARE PARTS ARE RESUMED TO LIPTONS IN RESPECT OF ITS NEEDS IN THE SHORT TERM AND ALSO , IN ORDER TO ENSURE THE MAINTENANCE OF EFFECTIVE COMPETITIVE CONDITIONS , THAT LIPTONS SHOULD RECEIVE IN THE LONG TERM SUFFICIENT SUPPLIES OF AVAILABLE SPARE PARTS TO MEET ITS REASONABLY FORESEEABLE REQUIREMENTS . THE PRICE FOR SUCH SPARE PARTS SHOULD BE AN APPROPRIATE MARKET PRICE BETWEEN THAT WHICH IS CURRENTLY CHARGED BY HUGIN AB TO HUGIN UK AND THAT WHICH IS CURRENTLY CHARGED BY HUGIN UK TO END USERS IN THE UNITED KINGDOM AND WHICH ALLOWS TO HUGIN UK AN ADEQUATE MARGIN OF PROFIT AND TO LIPTONS A REASONABLE TRADE DISCOUNT .

UNDER ARTICLE 16 ( 1 ) OF REGULATION 17 THE COMMISSION MAY , BY DECISION , IMPOSE PERIODIC PENALTIES FROM 50 TO 1 000 UNITS OF ACCOUNT FOR EACH DAY OF DELAY FROM SUCH DATE AS MAY BE FIXED IN THE DECISION IN ORDER TO COMPEL UNDERTAKINGS OR ASSOCIATIONS OF UNDERTAKINGS TO BRING AN INFRINGEMENT OF ARTICLE 86 TO AN END . IN ORDER , THEREFORE , TO ENSURE THAT HUGIN AB DOES BRING THE INFRINGEMENT IN QUESTION TO AN END THE COMMISSION CONSIDERS THAT IT SHOULD IMPOSE AN OBLIGATION ON THIS UNDERTAKING TO SUBMIT FOR THE APPROVAL OF THE COMMISSION , WITHIN ONE MONTH OF THE NOTIFICATION OF THIS DECISION , PROPOSALS RELATING TO THE RESUMPTION OF SUPPLIES OF SPARE PARTS TO LIPTONS AND , FURTHERMORE , IN ORDER TO ENSURE THAT THIS OBLIGATION IS COMPLIED WITH , THE COMMISSION SHOULD IMPOSE PERIODIC PENALTIES FOR EACH DAY OF DELAY .

C . ARTICLE 15 ( 2 ) OF REGULATION 17

UNDER ARTICLE 15 ( 2 ) OF REGULATION 17 THE COMMISSION MAY , BY DECISION , IMPOSE ON UNDERTAKINGS OR ASSOCIATIONS OF UNDERTAKINGS FINES OF FROM 1 000 TO ONE MILLION UNITS OF ACCOUNT OR A SUM IN EXCESS THEREOF BUT NOT EXCEEDING 10 % OF THE TURNOVER IN THE PREVIOUS BUSINESS YEAR OF EACH OF THE UNDERTAKINGS PARTICIPATING IN THE INFRINGEMENT , WHERE EITHER INTENTIONALLY OR NEGLIGENTLY THEY INFRINGE ARTICLE 85 ( 1 ) OR ARTICLE 86 OF THE TREATY . IN FIXING THE AMOUNT OF THE FINE , REGARD SHALL BE HAD BOTH TO THE GRAVITY AND TO THE DURATION OF THE INFRINGEMENT .

IN SO FAR AS THE COMMISSION CONSIDERS THAT HUGIN AB AND HUGIN UK INFRINGED ARTICLE 86 OF THE EEC TREATY BY REFUSING TO SUPPLY HUGIN SPARE PARTS TO LIPTONS , THE COMMISSION ALSO TAKES THE VIEW THAT HUGIN AB AND HUGIN UK KNEW THAT , AS A REASONABLE CONSEQUENCE OF WHAT THEY WERE DOING , LIPTONS ' ABILITY TO CONTINUE TO SERVICE , MAINTAIN , REPAIR , RECONDITION AND RENT OUT HUGIN CASH REGISTERS WOULD BE IMMEDIATELY IMPAIRED AND ULTIMATELY TERMINATED . IN SO FAR AS THE COMMISSION FURTHER CONSIDERS THAT HUGIN AB HAS ALSO INFRINGED ARTICLE 86 BY IMPOSING PROHIBITIONS ON ITS SUBSIDIARIES AND DISTRIBUTORS WITHIN THE COMMON MARKET IN RESPECT OF THE SUPPLY OF SPARE PARTS FOR THE CASH REGISTERS OF ITS MANUFACTURE OUTSIDE ITS DISTRIBUTION NETWORK , THE COMMISSION CONSIDERS THAT HUGIN AB KNEW OR MUST BE TAKEN TO HAVE KNOWN THAT THE RESTRICTIONS ON THE SUPPLY OF ITS SPARE PARTS WOULD SEVERELY RESTRICT COMPETITION IN HUGIN PRODUCTS WITHIN THE COMMON MARKET , PARTICULARLY IN THE BUSINESS OF SERVICING , REPAIRING , MAINTAINING , RENTING OUT , AND RECONDITIONING HUGIN CASH REGISTERS . THE UNDERTAKINGS CONCERNED HAVE , THEREFORE , AT THE VERY LEAST INFRINGED ARTICLE 86 OF THE EEC TREATY THROUGH NEGLIGENCE .

WITH REGARD TO THE DURATION OF THE INFRINGEMENTS , ACCOUNT MUST BE TAKEN OF THE FACT THAT , ALTHOUGH THE WITHDRAWAL OF SUPPLIES OF SPARE PARTS FROM LIPTONS STARTED IN OCTOBER 1972 AND HAS CONTINUED SINCE THAT DATE DESPITE STRENUOUS EFFORTS BY LIPTONS TO OBTAIN SUPPLIES THROUGHOUT THE COMMON MARKET , THE OBLIGATION OF HUGIN UK TO ENSURE THAT IT COMPLIED WITH THE EEC RULES ON COMPETITION IN SO FAR AS LIPTONS WAS CONCERNED , DID NOT COMMENCE UNTIL JANUARY 1973 WHEN THE UNITED KINGDOM ACCEDED TO THE TREATY OF ROME AND BECAME A MEMBER STATE OF THE EUROPEAN ECONOMIC COMMUNITY .

SUCH A CONSIDERATION DOES NOT , HOWEVER , APPLY TO HUGIN AB IN RESPECT OF ITS EXPORT PROHIBITION , BY WHICH MEANS HUGIN AB PREVENTED THE SUPPLY OF SPARE PARTS TO LIPTONS FROM OTHER MEMBER STATES SINCE IT HAS USED DISTRIBUTION AGREEMENTS WITH STANDARD CLAUSES PROHIBITING EXPORTS WHICH HAVE BEEN IN FORCE WITHIN THE COMMON MARKET SINCE AT LEAST FEBRUARY 1972 .

WITH REGARD TO THE GRAVITY OF THE INFRINGEMENT , ACCOUNT MUST BE TAKEN OF THE EFFECT OF THE REFUSAL ON LIPTON ' S VARIOUS ACTIVITIES BOTH IN THE SHORT AND LONG TERM .

THE IMMEDIATE EFFECT WAS TO REMOVE LIPTONS AS A COMPETITOR FROM THE MARKET FOR THE SERVICE AND REPAIR OF NEW HUGIN CASH REGISTERS . WITHOUT AN ASSURED SUPPLY OF SPARE PARTS LIPTONS WAS IMMEDIATELY PREVENTED FROM ENTERING INTO ANY ARRANGEMENTS FOR THE SERVICE OR REPAIR OF SUCH CASH REGISTERS AND IT DID , IN FACT , HAVE TO REFUSE TO DO SO .

WITH REGARD TO THE BUSINESS OF RENTING OUT BOTH NEW AND USED HUGIN CASH REGISTERS , THE IMMEDIATE EFFECT OF THE REFUSAL WAS TO REDUCE THE POSSIBLE VOLUME OF BUSINESS AS LIPTONS WAS LIMITED TO ITS EXISTING STOCK OF SPARE PARTS AND TO THE SPARE PARTS MADE AVAILABLE BY DISMANTLING USED HUGIN CASH REGISTERS . IN THE LONG TERM SUCH BUSINESS WILL EVENTUALLY CEASE .

THE SAME CONSIDERATIONS APPLY TO THE BUSINESSES OF REPAIRING USED HUGIN CASH REGISTERS AND OF RECONDITIONING USED HUGIN CASH REGISTERS FOR RESALE OR FOR RENTING OUT .

IN VIEW OF THE FACT THAT LIPTONS IS HUGIN ' S ONLY KNOWN COMPETITOR IN THE UNITED KINGDOM IN THESE VARIOUS ACTIVITIES , THE IMMEDIATE EFFECT OF SUCH REFUSAL WAS TO DEPRIVE CONSUMERS OF ANY ALTERNATIVE TO THE SERVICING AND REPAIR OF NEW HUGIN CASH REGISTERS BY THE HUGIN SERVICING COMPANIES . COMPETITION IN THE SUPPLY OF NEW AND USED HUGIN CASH REGISTERS FOR RENT AND OF RECONDITIONED MACHINES FOR SALE AND IN THE REPAIR OF HUGIN CASH REGISTERS WAS REDUCED AND WILL EVENTUALLY DISAPPEAR AS A RESULT OF THE REFUSAL .

THE REFUSAL HAS CLEARLY CAUSED LIPTONS TO LOSE SUBSTANTIAL SUMS OF MONEY FOR EACH YEAR SINCE JANUARY 1973 EVEN THOUGH IT MAY NOT BE POSSIBLE ACCURATELY TO QUANTIFY SUCH LOSSES . THE FACTS INDICATE , FOR EXAMPLE , THAT LOSSES WERE SUSTAINED BY LIPTONS IN THE BUSINESS OF RENTING OUT HUGIN CASH REGISTERS AND AS A RESULT OF DISMANTLING HUGIN CASH REGISTERS FOR SPARE PARTS .

WITH REGARD TO THE WITHDRAWAL OF SUPPLIES FROM LIPTONS , ACCOUNT SHOULD ALSO BE TAKEN OF THE SUDDEN AND UNFORESEEN NATURE OF THIS ACTION , PARTICULARLY IN VIEW OF THE FACT THAT SUPPLIES OF SUCH SPARE PARTS CONTINUED AFTER THE TERMINATION OF THE 1969 MAIN AGENCY AGREEMENT .

WITH REGARD TO THE PROHIBITION ON THE SALE OF SPARE PARTS BY HUGIN AB ' S SUBSIDIARIES AND DISTRIBUTORS , ACCOUNT MUST BE TAKEN OF THE FACT THAT THIS PROHIBITION WAS IMPOSED BY MEANS OF A GENERAL EXPORT PROHIBITION AND THAT IT IS NOW WELL KNOWN THAT SUCH PROHIBITIONS ARE NORMALLY ILLEGAL . IN ADDITION HUGIN AB HAS SO FAR FAILED TO INFORM THE COMMISSION THAT SUCH PROHIBITION HAS BEEN REMOVED . EVEN WHEN THE EXPORT PROHIBITION IS REMOVED THE PROHIBITION ON THE SUPPLY OF SPARE PARTS OUTSIDE THE DISTRIBUTION NETWORK WILL REMAIN .

D . ALTHOUGH HUGIN AB HAS ITS REGISTERED OFFICE OUTSIDE THE COMMON MARKET , IT HAS NUMEROUS SUBSIDIARIES WITHIN THE COMMON MARKET , PARTICULARLY IN THE UNITED KINGDOM . IN THESE CIRCUMSTANCES , FOR THE PAYMENT OF THE FINE THE AMOUNT SHALL BE CONVERTED FROM UNITS OF ACCOUNT TO POUNDS STERLING .

E . THIS DECISION IS TO BE ENFORCEABLE IN ACCORDANCE WITH ARTICLE 192 OF THE EEC TREATY ,

HAS ADOPTED THIS DECISION :