EU officials searched the building of the energy drinks manufacturer from Fuschl in March. Now Red Bull has been dismissed by the court with a lawsuit in connection with the competition watchdog’s search.
Red Bull wanted to convince the second highest EU court in Luxembourg to suspend an EU antitrust decision, but the request for a provisional ban was rejected last Friday. This is evident from a message on the court’s website.
The European Commission searched business premises in March on suspicion of illegal deals and violations of EU antitrust rules. Red Bull subsequently disputed the raid, claiming the allegations were unfounded and that EU competition watchdogs had not found sufficient evidence of anti-competitive behavior when they decided on the raid.
Criticism of the search method
“It appears that the Commission did not have sufficient evidence of anti-competitive behavior at the time of its decision to justify an investigation,” Red Bull said in its proceedings before the Luxembourg court. The drinks maker also criticized the EU competition authority’s open search of its Brussels offices as an “excessive interference” in the company’s rights, but did not get away with it.
The EU competition watchdog’s visit to Red Bull in March was apparently related to the company’s market power. Red Bull is the number one energy drink in Europe, but faces competition from other manufacturers looking to gain market share. According to a report by specialist service MLex, the allegations focused on Red Bull’s dealings with retailers and that the company may have tried to obtain favorable treatment for its own drinks at the expense of its competitors.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
