Abstract

http://ssrn.com/abstract=2132658
 


 



The Saitama Saturday Club Case: Political Meddling, Public Opinion, and Antitrust Enforcement in Japan at a Turning Point


Simon Vande Walle


University of Tokyo - Graduate Schools for Law and Politics

August 20, 2012


Abstract:     
This paper tells the story of the Saitama Saturday Club case and how it changed antitrust enforcement in Japan. Although the case is often cited as an example of failed antitrust enforcement, in fact, the case had a lasting and positive impact in many unexpected ways.

The case opposed Japan’s antitrust enforcement agency against the country’s mighty construction industry. For years, the construction companies had rigged bids for thousands of public works in Saitama Prefecture, in clear violation of Japan’s Antimonopoly Act. Yet they escaped relatively scot-free, as the Japan Fair Trade Commission decided not to bring criminal charges and instead handled the case with a trifle administrative penalty.

But this docile treatment triggered a public backlash. Angry citizens sued the bid-riggers for damages, an unprecedented move that would subsequently be replicated in over eighty other cases throughout Japan. More broadly, the case heightened public awareness of the pernicious nature of bid-rigging and galvanized popular support for more robust antitrust enforcement. In turn, this support enabled the Japan Fair Trade Commission to move against entrenched interests and, in the years that followed, gradually step up enforcement, an evolution that continues to this day. In this sense, the Saitama Saturday Club case constituted a turning point for antitrust enforcement in Japan.

Number of Pages in PDF File: 23

Keywords: antitrust law, enforcement of antitrust law, penalties, damages actions, political interference, independence, bid-rigging

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Date posted: August 20, 2012 ; Last revised: November 5, 2012

Suggested Citation

Vande Walle, Simon, The Saitama Saturday Club Case: Political Meddling, Public Opinion, and Antitrust Enforcement in Japan at a Turning Point (August 20, 2012). Available at SSRN: http://ssrn.com/abstract=2132658 or http://dx.doi.org/10.2139/ssrn.2132658

Contact Information

Simon Vande Walle (Contact Author)
University of Tokyo - Graduate Schools for Law and Politics ( email )
7-3-1 Hongo Bunkyo-Ku
Tokyo, 113-0033
Japan
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