דוקטרינת ההשפעות כבסיס לתחולה חוץ-טריטוריאלית של חוק התחרות

The “effects doctrine” creates an important basis for extraterritorial application of local law. The doctrine, which is part of international public law, broadens the application of local laws under some conditions to actions and individuals outside a country’s territory which have affected it. The doctrine reflects the understanding that in our day and age acts performed in one jurisdiction can significantly affect another jurisdiction. Being part of public international law, the doctrine is automatically adopted into Israeli law, absent a clashing and clear legal prohibition. The application of the doctrine in competition law and the conditions for its application are analyzed in this article. The article attempts to contribute to the optimal Israeli formulation of the doctrine’s conditions, in light of the goals of competition law as well as the relevant local characteristics. To do so, the article analyzes four types of conditions adopted around the world for the application of the doctrine, while emphasizing the vast changes that have occurred in its application in the last decade. Most notably,there is a clear trend towards broadening the applicability of local competition laws to extraterritorial acts that create anti competitive effects in one’s jurisdiction and the range of discretion each country is afforded for designing its conditions. Indeed,the conditions chosen will affect the ability of Israeli citizens to be compensated for anti competitive conduct that affects them, although it took place elsewhere, and enhance deterrence. It is therefore crucial to avoid blindly following inadequate,outdated or burdensome foreign formulations. Instead, we suggest that the doctrine’s application be conditioned, in line with its current application in many jurisdictions,on a significant potential effect, which is objectively foreseeable, and call for a moderate interpretation of these conditions.