Undertaking – Economic Activity v State Prerogative

Abstract

This entry analyses the distinction between economic activity and activities tied to the exercise of public authority. This is an exception to the broad and inclusive notion of the undertaking in EU competition law. Through a detailed analysis of key cases like Eurocontrol I and II, Aeroports de Paris and Compass Datenbank, it is outlined how the CJEU has balanced the functional interpretation of the undertaking with state prerogatives — which is outside the realm of competition law. The entry also addresses the influence of state aid case law on the ‘public authority exception,’ and addresses the implications of the current doctrine on effective competition law enforcement.