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FTC decision in favor of Matra administrative settlement
The FTC made a decision at its 314th Commissioners Meeting on November 5th, 1997 to approve the application by Matra for administrative settlement in order to allow the French subway system constructor to renew negotiations with Taipei Mass Rapid Transit Corp. on the maintenance contract.
The Taipei City Government filed a complaint to the FTC allenging that Matra's refusal to provide maintenance services and its subcontractors from providing maintenance services constitutes a violation of the Fair Trade Law. Later, Matra filed an application to the FTC for discontinuance investigation with the reason that it is willing to resume maintenance contract negotiations with the Taipei City Government.
The FTC said its decision was made in consideration of public policies and effective administration. Matra will be able to resume maintenance contract negotiations on the patented VAL systems and machinery facilities with the Taipei City Government. However, the FTC said it will revise the provisions presented by Matra in its application and Matra has 10 days to decide whether to accept the FTC's positions for administrative settlement or not.