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Spain: CNMC sanctions on bar associations lifted

By  |  April 16, 2018

In a new reversal to the competition watchdog’s decisions, Spain’s National Assembly (AN) has annulled the fines of €60,000 (US$74,437.00) imposed in September 2015 by the National Commission of Markets and Competition (CNMC) against the General Council of Spanish Lawyers over alleged practices restricting competition in Free Legal Assistance Services. It has also revoked the sanction of €30,000 (US$37,218.60) that the CNMC had imposed in September 2015 on the Guadalajara Bar Association for the same reason.

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    The AN’s reversal has argued that the Bar Associations are obliged to “guarantee the speed and agility in their provision of Free Legal Assistance Service; hence the obligation to reside and to have an office located in the area assigned to their Shift.” Lawyers have long defended this territoriality as a guarantee of closeness and proximity.

    Finally, the AN argues that in providing the public service of Free Legal Representation “there is no free market” since the consumer cannot choose who should provide the service, the lawyers do not receive fees (but are rather compensated in an amount determined by the authorities) and that lawyers are assigned to provide this service by drawing turns or shifts.

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