On 11 October, regulations came into force No. 924/2007 (PDF document – Opens in a new window), regarding a change to the rules No. 880/2005 (PDF document – Opens in a new window) on the case proceedings of the Competition Authority.
The main objectives of the changes are to establish a more structured framework for the Competition Authority's communications with lawyers and to emphasise the responsibilities of both them and the firms they work for in the handling of cases.
The changes are being introduced in light of experience from recent quarters. There have been instances where the representation of lawyers has changed during the course of proceedings without the Competition Authority being reliably informed. There has been uncertainty as to which companies were covered by lawyers' mandates in certain cases. Furthermore, an incident has occurred where the participation of a company in a case was rejected by its lawyer and the company itself, despite long and unremarkable communications from them with the Competition Authority during the investigation.
A written power of attorney must be presented.
Where a party instructs a solicitor to act as their representative in a matter, they must thereafter produce a statement of authority to the solicitor concerned, signed by a duly authorised representative of the company and the solicitor.
The mandate applies to all companies within the relevant group.
Unless otherwise specifically stated, a lawyer's authority extends to all companies within the relevant corporate group, if a corporate group is involved.
Changes to the mandate must be reported.
The party to the proceedings and their solicitor must immediately notify the Competition Authority of any changes to the party's representation or the solicitor's authority.
Changes to membership must be reported.
If a party to the proceedings believes that changes which have taken place during the course of the proceedings, e.g. in its ownership, may affect its status as a party, it shall notify them without delay.
The Competition Authority may decide to have direct communication with the parties to the proceedings.
Despite legal representation, the Competition Authority may communicate directly with a party to the proceedings. For example, it may be unavoidable in the course of processing a case to meet with the CEO of the relevant company or to send correspondence to them. In these cases, the Competition Authority also sends a copy of formal correspondence to the party's solicitor. Furthermore, direct communication is maintained with a party to the proceedings if the declaration of a solicitor's authority is deficient.
A letter of authorisation must accompany formal correspondence.
If the person submitting a communication to the Competition Authority instructs a lawyer to act as their representative in the matter, a statement of authority for that lawyer must accompany the communication. Otherwise, the Competition Authority may refuse to consider the communication. The declaration must confirm that the party to the proceedings and the lawyer have, amongst other things, familiarised themselves with the Competition Authority's interpretation of an unconditional power of attorney, and the requirement for immediate notification of any change of representation or party status.
The above-mentioned changes came into force upon publication in Official Gazette, on 11 October 2007.
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