91997E4215

WRITTEN QUESTION E-4215/97 by Francesco Baldarelli (PSE) to the Commission (21 January 1998)

Subject: Respect for consumer law and the rules of free competition in Italy

For more than seventeen years an Italian citizen, Gaetano Di Bari, has been bringing legal proceedings against an Italian branch of a large-scale international firm which produces office machinery. Mr Di Bari was a sales agent in an area of Central Italy for the machinery produced by this firm.

This lengthy dispute was initially caused by failure to distribute large quantities of spare parts which should have been supplied to purchasers free of charge to replace defective parts. Above all, this distorted the conditions of free competition on the market and caused undoubted damage to retailers and consumers, who for several years had to pay for hundreds of thousands of repairs to remedy problems which in actual fact had already been solved by head office. Mr Di Bari thought it appropriate to report this fact. The resulting judicial saga, which has not yet come to an end, has clearly caused Mr Di Bari material, economic and moral damage, and led to personal and professional problems. Among other things, when the firm cancelled his retailing contract he was forced to give up his business activity and sustained heavy financial losses.

Does the European Commission not consider that the international firm in question, by failing to inform retailers and consumers about the defects in parts of office machinery and to replace them free of charge, caused objective damage to those consumers and retailers?

Does the Commission not consider that the behaviour of the firm was contrary to the rules concerning accurate and timely consumer information, thereby clearly infringing the rights of consumers?

How does the Commission intend to ensure, in this case and in other present or future cases, definite respect for Community directives on free competition?

Does the Commission not consider that Mr Di Bari has been penalized, suffering economic and moral damage?

Answer given by Mr Van Miert on behalf of the Commission (18 February 1998)

The Commission would first point out that, before any decision can be taken as to whether the Community competition rules apply, the legal and economic context of the case in question has to be looked at closely.

In the light of the particulars given by the Honourable Member, there is good reason to ask whether the case referred to does not concern a dispute which should, in the first instance, be dealt with under Italian private law. The administrative procedure that the Commission could, in principle, initiate could not result in a finding against the party in question, with damages being awarded. The Commission would note that the matter has already been referred to the Italian courts and that several sets of legal proceedings are still under way.

Intervention by the Commission is thus neither expedient nor appropriate when it comes to satisfying the objectives being pursued by the person to whom the Honourable Member refers.