March 30, 2017, Covington Alert

Today, the UK Government published a White Paper envisaging an initial continuation of EU law in the UK “wherever practical and appropriate” on withdrawal from the EU (“Brexit”). Today’s White Paper comes one day after the UK notified the EU of its intention to leave which triggers the two-year Brexit negotiation period.

The UK Government intends on achieving this continuation through legislation in the form of the “Great Repeal Bill.” At the same time as removing the legal supremacy of EU law and the formal influence of EU laws in the UK, the Great Repeal Bill will convert the body of existing EU law into UK domestic law. The effect will be that on day one of Brexit, “wherever practical and appropriate,” the same rules and laws of the EU will apply in the UK. Thereafter, the UK Government will review those laws derived from EU law and seek to either amend, repeal, or maintain those laws. Today’s White Paper sets out the UK Government’s plans. The scope of the Great Repeal Bill will likely change once it is proposed as a draft Act of Parliament later this year and after it is debated and reviewed by the UK Parliament.

March 29, 2017, Covington Alert

Today, the UK Prime Minister, Theresa May, formally triggered the process of the UK’s withdrawal from the EU (“Brexit”) by invoking Article 50 of the Treaty on European Union. This is the first time an EU Member State has used the Article 50 mechanism. This marks the beginning of the two-year period in which an arrangement for Brexit must be agreed and finalized. If no agreement is reached—and if there is no unanimous agreement among all other EU Member States to extend the two-year period—the UK will cease to be a member of the EU with no replacement or transitional arrangement in place. The letter triggering Article 50 has been described by Prime Minister May as “one of the most important documents in [the UK’s] recent history and will start to deliver the result of the referendum and set the tone for [the UK’s] new relationship with Europe and the world.”

February 2, 2017, Covington Alert

Today, the UK Government published its strategy in a White Paper regarding the UK’s withdrawal from the EU (“Brexit”). The UK Government is clear that it “will make no attempt to remain in the EU by the backdoor” nor will there be a second referendum on UK membership of the EU.

January 31, 2017, Compliance Week

Michael Fanelli and Kevin Coates are quoted in a Compliance Week article examining how companies are navigating the global enforcement landscape. Commenting on global antitrust investigations, Fanelli says, “[Cooperation] involves a real thorough investigation to show you’re doing everything you can to root out the problem.” Applying for leniency may not always ...

January 24, 2017, Covington Alert

Today, the UK Supreme Court held (by a majority of 8:3—an unprecedented 11 Justices heard the case) that the UK Government does not have the power to trigger the process of withdrawal from the EU (“Brexit”) without first obtaining Parliamentary approval in the form of an Act of Parliament. The decision is largely aligned with the Divisional Court’s ruling on November 3, 2016.

January 18, 2017, Covington Alert

The British Prime Minister, Theresa May, has now confirmed the government’s view that the United Kingdom must leave the European single market in order to give effect to the outcome of the EU referendum held on June 23, 2016. In light of that statement, the UK government’s promise to guarantee the status of EEA nationals already residing in the UK as soon as possible after commencement of negotiations will provide little comfort to those affected. Prime Minister May made it clear that UK rights and protections will depend on UK nationals residing in other Member States receiving the same rights and protections, which may take months, even years, to agree.

2009-present, Blog

Mr. Coates writes a personal blog on competition law matters.

November 3, 2016, Covington Alert

Today, the High Court of England and Wales held that the UK Government does not have the power to trigger the process of withdrawal from the EU without first obtaining Parliamentary approval. The High Court’s decision will likely be the subject of an appeal heard by the UK Supreme Court in December this year.

October 19, 2016, Covington Alert

On September 15, 2016, the European Commission published its Preliminary Report on the ongoing e-commerce sector inquiry. The report is based on the input from nearly 1,800 companies operating in e-commerce of consumer goods and digital content and has analyzed around 8,000 distribution contracts. The report confirms the fast growth of e-commerce in the EU and identifies business practices that may restrict or distort competition.

October 10, 2016

LONDON—Elaine Whiteford has joined Covington as a partner in the European Dispute Resolution practice resident in the firm’s London office. Ms. Whiteford’s practice focuses on contentious competition law matters and follow-on damages litigation, challenges to regulatory decisions, cartel and other regulatory investigations, and other types of commercial ...

October 10, 2016

LONDON—Lord Francis Maude, the former UK Minister for Trade and Investment in Prime Minister David Cameron’s government, has joined Covington as a Senior Advisor in the firm’s Public Policy and Government Affairs practice. With a political career spanning almost 40 years, Lord Maude has held a number of high profile government positions, including Financial ...

July 26, 2016, Competition Law Insight

Kevin Coates discusses his career highlights and the legal landscape in this interview with Competition Law Insight.

July 20, 2016, Global Competition Review

Kevin Coates participated in the American Bar Association’s criminal antitrust conference and is quoted in a GCR article regarding the effects of Brexit on antitrust. According to Coates, the effects of Brexit on competition law will only be felt if the United Kingdom decides it wants an economic relationship with the European Union different from one created by ...

July 19, 2016, PaRR

Kevin Coates spoke at an American Bar Association webinar entitled “Cartel and Criminal Practice Update” and is quoted in a PaRR article regarding the significance of the European Commission’s July truck cartel decision. According to Coates, this is the first case in which the EC issued a normal procedure statement of objections (SO) to parties, and then agreed ...

July 18, 2016, Legal Business

Alex Leitch is quoted in a Legal Business article regarding the arrival of Elaine Whiteford to the firm’s European competition practice. According to Leitch “She brings a wealth of EU litigation experience, which we see as a real asset in the current market, impacted by many developments around Europe, including Brexit related disputes, and the new class action ...

2017

Our Brexit Task Force is staffed by senior lawyers and advisors across London, Brussels, and Washington to monitor events and to keep clients apprised of legal, regulatory, and policy developments. We are advising clients across a wide range of businesses and industries on the impact and implications of Brexit, including on strategic policy and regulatory issues pertaining to:

• Employment and Immigration: the employment status of EU nationals in the UK, and UK nationals in the EU; workforce planning and minimizing the impact of the Brexit vote on both employee relations and the wider business;
• Corporate: deal opportunities created by the fall in the value of the British pound; the likely effect of Brexit on a number of corporate structures established in EU legislation; how to structure EU-UK joint ventures or projects to protect against the likely consequences of Brexit for EU-specific corporate structures;
• Data Protection: the UK's regulatory framework, including UK implementation of the GDPR; data flows after Brexit between (i) the UK and EU and (ii) the UK and other third countries (e.g., the U.S.); status of UK corporate “main establishments;" and EU Model Clauses and Binding Corporate Rule programs post-Brexit;
• Regulatory Integration: risks to business of regulatory fragmentation; the likelihood of securing bespoke agreements for specific sectors, such as pharmaceuticals, air transport, and financial services; strategies to advocate EU-UK regulatory integration in specific fields with UK and EU decision makers;
• Cross-border Supply Chains and EU-UK Trade: the likely form of an EU-UK Free Trade Area and its implications for trade, manufacturing, and supply chains; work to protect the free flow of goods by region (e.g., special economic zones, sectorial agreements in the free trade area), including public policy and regulatory advice to secure such arrangements;
• International Trade: the likely effect of the models adopted for Brexit on future UK trading relationships with the EU, U.S. and other jurisdictions; the consequences of the UK’s likely position outside the EU Customs Union on rules of origin; restructuring trade flows to minimize disruption and identify opportunities in the models for post-Brexit UK-EU trade arrangements; support and outreach in UK-EU trade negotiations.

We are also advising clients on sector-specific issues in:

• Life Sciences: models for the integration or mutual recognition of EU and future UK medicines and medical devices regulatory systems;
• IT and Technology: data protection; copyright and the UK’s recognition or implementation of pending proposals, and e-commerce and consumer rights;
• Financial Services: assessing the impact of Brexit on the business and planning the response; advising on the restructuring of businesses and corporate reorganizations; advising on cross-border corporate relocation issues; assisting with major document and contractual reviews impacted by Brexit and the response; lobbying the Government and responding to Consultations; assisting industry associations as a member of task force committees and working groups; and advising on the likely impact on the implementation of major EU Directives and Regulations, such as MiFID II.

Resources

Below is a compendium of resources that outline key points about Brexit and its potential impact on industry.

• Theresa May’s position as PM cannot be secured: Lord Maude, CNBC, June 12, 2017 
• Lord Maude: Theresa May needs to offer 'outward-looking Britain, Sky News, June 7, 2017
• UK Government Outlines Plan for Initial Continuation of EU Law in Post-Brexit UK Law, Covington Alert, March 30, 2017
• Brexit's Impact on Businesses, Bloomberg, March 29, 2017
• UK Triggers Brexit Process, Covington Alert, March 29, 2017
• Expect clear Brexit negotiating positions by the summer, CNBC’s Squawk Box, March 29, 2017

June 30, 2016

BRUSSELS—With the latest addition of Ambassador Péter Balás, Covington has further enhanced its global Antitrust and Competition and Public Policy and Government Affairs practices. The firm’s strategic growth in Europe includes the addition of the following professionals in recent months: Ambassador Péter Balás, the former Deputy Director-General of DG ...

June 24, 2016, Covington Alert

The UK has voted to leave the European Union in an advisory referendum. 52% leave - 48% remain.

Were the UK to leave the EU, this would have significant implications for the UK and for international businesses operating in the UK. The longer term impact of the decision on the regulatory framework for the UK will depend, in part, on the relationship that the UK seeks with the EU in the future. That will not become clear for some time as it will likely take at least two years for the UK to negotiate an exit from the EU.

Covington has formed a Brexit Task Force staffed by senior lawyers and advisors linking its offices in London, Brussels and Washington to monitor events and to keep clients apprised of legal, regulatory and policy developments. We will send you regular updates over the coming days and beyond to explain what this result means for your business operations in Europe and/or your trading relationships with the UK.

June 6, 2016

BRUSSELS—Ambassador Péter Balás, the former Deputy Director-General of DG Trade at the European Commission between 2005 and 2014, has joined Covington as a Senior Policy Advisor. Recently Ambassador Balás also held the position of Head of the Support Group for Ukraine at the European Commission. He was previously Ambassador and Permanent Representative of ...

May 19, 2016

BRUSSELS — Carl Bildt, the former Prime Minister of Sweden, has joined Covington as a Senior Policy Advisor in the firm’s global Public Policy and Government Affairs practice. Most recently, Mr. Bildt served as Sweden’s Minister for Foreign Affairs between 2006 and 2014. As Prime Minister of Sweden, Mr. Bildt led the government that negotiated and signed ...

April 20, 2016

BRUSSELS — Sophie Bertin, a former senior official who served as Head of Unit in the “Financial Crisis” Task Force within the Directorate-General for Competition at the European Commission, has joined forces with Covington’s global antitrust and competition practice. Ms. Bertin will be working with the firm’s Brussels and London offices. At DG COMP, Ms. Bertin ...

April 4, 2016

BRUSSELS — Kevin Coates, a former senior official who served as Head of one of the Cartels Units at the Directorate-General for Competition at the European Commission between 2012 and 2016, has joined Covington’s antitrust and competition practice. Over the last 16 years, Mr. Coates has held several senior positions within DG COMP and before that served as ...

April 4, 2016, Global Competition Review

Kevin Coates, Johan Ysewyn and Deborah Garza are quoted in this GCR article announcing the arrival of Coates as a partner in the firm’s European competition practice.

2014, Faull & Nikpay’s EU Law of Competition

January 1, 2011, Oxford University Press