Deutsche Post may demand repayment of discounts if court approves

Deutsche Post World Net AG said the German Federal Cartel Office has agreed to recognize the logistics giant’s right to demand repayment of enforced discounts if a Duesseldorf appellate court rules in favour of the company.

Another option is that the EU Commission or a European Court nullifies the previous Cartel Office decision, the company said.

The Cartel Office in February ruled that Deutsche Post is obligated to extend the same quantity discounts to its competitors that it offers to customers.

Deutsche Post did implement the discounts, but took the matter to court claiming the ruling is an illegal encroachment on the company’s monopoly and is currently awaiting a ruling.

Deutsche Post is scheduled to lose its monopoly at the end of 2007 as part of an EU-wide move to liberalise the market for mail delivery.

In return for the Cartel Office’s concession, Deutsche Post said it agreed to limit its demands to damages or disadvantages occurred.

The discounts were granted to ‘mail consolidators’ who collect small mail providers’ shipments and bundle them into large orders, which are then sent out at a discount.

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