Google taps top law firms to fight EU regulatory battles

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Google is ramping up its legal firepower as it prepares to battle with European Union antitrust regulators after a landmark 2.4 billion euro (2.7 billion US dollars) fine and the possibility of a second record sanction before the end of the year.

It is drawing on the expertise of at least five top law firms in Brussels to help it deal with its EU regulatory troubles, people familiar with the matter said.

The EU competition authority hit the company with a 2.4 billion euro penalty last month for unfairly favoring its shopping service.

Antitrust regulators are also weighing a record fine against Google over its Android mobile operating system and a third case involves its AdSense for Search platform.

The Luxembourg-based General Court, Europe's second highest, will be the first battleground for Google if it challenges the European Commission's June decision and potentially disruptive changes to its business practices.

European Commissioner for Competition Margrethe Vestager delivers a speech as the European Commission has fined Google 2.4 billion euros for manipulating search results, in Brussels on June 27, 2017. /VCG Photo‍

Law firms Cleary Gottlieb, Allen & Overy, Slaughter and May, Garrigues and White & Case have all been tapped by Google.

Google did not immediately respond to an email for comment.

At a high cost of top lawyers

The company's decision to rely on a diverse range of lawyers makes sense because of the risks it faces, said Ian Giles, a partner at London-based law firm Norton Rose Fulbright.

"Given the potential penalties and damages actions it faces, Google will want to invest in the best possible defense team, and direct legal costs will be a relatively minor consideration," he said.

"There may be simple capacity reasons as to why they are sharing the workload between a number of law firms, but there is also value to seeking a second opinion, reconsidering strategy, and bringing new ideas to the table," Giles said.

"There has been no similar case in European law in the past. It is a very challenging case and difficult to prove one or the other," said economist Georgios Petropoulos at think-tank Bruegel.

Google‘s headquarters in Mountain View, California. /Reuters Photo

(Source: Reuters)