New competition Law 27,442 introduces several changes in the current competition law regime in Argentina, effective on or after May 24, 2018.
This new law intends to foster competition among companies based on their merits, quality, prices and innovation. The new law establishes clearer rules to achieve greater market transparency, favoring a sustainable development of the Argentine economy.
Below are the key items:
- Reduction or exemption of fines will be granted to companies that provide information to detect violations to competition laws: specifically, it exempts from sanction those who provide evidence to detect cartelization cases.
- Companies engaged in monopolistic and cartelization practices will be fined up to 30% of the business associated with the products or services involved in the illegal conduct, multiplied by the number of years in which they have sustained those practices. The fine amount may not exceed 30% of the total business of the company involved.
- The law creates a new agency in charge of controlling and establishing sanctions (the National Competition Authority). The agency will be comprised of a five-member tribunal and two secretariats.
- The law also creates a judicial appellate division for antitrust matters within the Federal Civil and Commercial Chamber of Appeals.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.