St.Martin Conference 2009November 12, 2009Leniency Programme – Access to File, Discovery Rules

Vladimíra Glatzová, Glatzová & Co.

Importance of Confidentiality for Leniency

• Confidentiality - condition sine qua non for Leniency.

• Two Risks of Leakage of Information: – leakage of information on leniency proceedings

to other cartel members

– leakage of information about cartel to consumers

Leniency Proceedings

• Leniency Application

• Opening of Administrative Proceedings (opening of the file)

• Dawn-rides (místní šetření)

• Statement of Objections (sdělení výhrad)

Confidentiality of Leniency Documents

• Access to File– When?

» Opening of proceedings

– By whom? » Participants to proceedings» Third parties with legal interest

• Content of File

- Corporate Statement excluded until SO,

- Business secret entirely excluded from file

Conflict with Discovery Rules

• Discovery Rules– incriminating Leniency documents might be

requested in private civil actions for damage– namely USA (+England and Wales,

Germany)

hamper effectiveness of Leniency Programme– potential economic harms in the form of

damages x economic benefit of Leniency Programme

Conflict with Discovery Rules 2

• Consequence Oral Leniency– attempt to frustrate discovery requests

• Possible solution of conflict – application of Principle of International Comity– possible exemption of Leniency documents

from discovery based on Rule 26– current downsides: inconsistency of

interpretation of the principle by courts

Conclusion 1

• Relevant changes in Czech legislation to be adopted to secure confidentiality:– access to file only after SO– no access for third parties

Conclusion 2

• Consistency in application and interpretation of the Principle of International Comity to be ensured

Thank you for listening!

Glatzova & Co., v.o.sHusova 5, Praha 1

vladimira.glatzova@glatzova.com