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North American Free Trade & Investment Report: Changes in Mexican Antitrust Law
Alberto de la Peña
On May 10, 2011, a Decree was published in the Official Journal of the Federation (Diario Oficial de la Federación) that amended, supplemented, and repealed various provisions of the Federal Competition Law (Ley Federal de Competencia Económica), the Federal Penal Code (Código Penal Federal) and the Federal Tax Code (Código Fiscal de la Federación) (collectively, the “Decree”) in the area of antitrust regulation.
These modifications are part of an effort on the part of President Calderon to establish a legal framework whereby the relevant government entities will have broader authority to penalize monopolistic practices and whereby certain legal procedures for day-to-day commercial transactions will be simplified.
In order to fight monopolies, the Decree strengthens the authority of the Federal Antitrust Commission (Comisión Federal de Competencia) (“Cofeco”) to enforce the law and impose sanctions. The Decree grants Cofeco the authority to (i) carry out on-site investigations without a court order and (ii) order the suspension, for up to one year, of any activity that constitutes a monopolistic practice or a prohibited market concentration, including the authority to set the amount of the bond required to avoid or lift such suspension.
Published in North American Free Trade & Investment Report, June 2011. To read the full article, click the PDF linked below.
PDF - Changes_in_Mexican_antitrust_law