31.12. 8§ Official Journal of the European Communities No L 369/9 COMMISSION DECISION of 13 December 1985 relating to a proceeding under Article 85 of the EEC Treaty (IV/30.017 — Breeders’ rights: roses) (Only the French text is authentic) (85/561/EEC) THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation No 17 of 6 February 1962, First Regulation implementing Articles 85 and 86 of the Treaty ('), as last amended by the Act of Accession of Greece, and in particular Articles 2, 3, and 4 thereof, Having regard to the complaint lodged with the Commission pursuant to Article 3 (1) of Regulation No 17 on 31 January 1980 by Mr René Royon, : 4 Having regard to the Commission Decision of 9 December 1983 to initiate proceedings in this case, Having regard to the application for negative clearance and the notification filed on 27 April 1985 by Mr Alain Meilland pursuant to Article 4 of Regulation No 17, Having given the undertakings concerned the opportunity to make known their views on the objections raised by the Commission, pursuant to Article 19 (1) of Regulation No 17 and to Commission Regulation No 99/63/EEC of 25 July 1963 on the hearings provided for in Article 19 (1) and (2) of Council Regulation No 17 (2), After consulting the Advisory Committee on Restrictive Practices and Dominant Positions, Whereas: I. FACTS A. The parties 1. The parties to this case are active mainly in the ornamental plant sector; they specialize in roses, which constitute a specific market. 2. The general parmership Meilland et Cie, Antibes, exploits throughout the world varieties of rose bushes which are produced and distributed under the name Selection Meilland. (') O] No 13, 21.2.1962, p. 204/62. (2) OJ No 127, 20. 8. 1963, p. 2268/63. The partners are: — Mr Alain Meilland, — Mrs Marie-Louise Paolino, widow of Francis Meilland, — Mr Raymond Richardier. The activities of this undertaking include the breeding of new varieties of rose bush, the production of plants, the exploitation of such plants (so-called ‘garden’ exploitation) or of the flowers (‘cut flower’ exploitation) and their distribution both wholesale and retail through an international network of licensees and sub-licensees. The private company Universal Plants, Le Cannet des Maures, specializes more particularly in the production of rose bushes. It is also the breeder of a number of varieties or holder of the rights in their exploitation. The partners are: — Mr Alain Meilland, — Mr Raymond Richardier, and — Mrs Marie-Louise Paolino, referred to above, is the manager. These two undertakings trade under the name Universal Rose Selection-Meilland (URS-M, hereinafter called ‘Meilland’). Owing to the economic importance, from both the qualitative and quantitative points of view, of its varieties, which are sold in numerous countries, including the two biggest markets for ornamental plants, North America and Europe, Meilland has for the past 30 years been one of the world’s leading breeders and producers of roses. Its current turnover is approximately 12 million ECU, two-thirds of which is from sales in the Community. This figure includes both earnings from its own production and the royalties charged for the exploitation of its varieties by third parties. In France, Meilland has granted a licence for the commercial exploitation of its varieties to Mr and Mrs Francisque Richardier (hereinafter called ‘Richardier’), who are related to Mr Raymond Richardier. The are exclusively authorized, under an agreement they concluded with Meilland on 30 September 1968, to produce and sell, or cause to be produced and sold, in that country rose bushes and cut flowers of the Selection Meilland varieties. They