Most competition statutes have general prohibitions against anticompetitive behavior (eg "Combinations in restraint of trade", "agreements to substantially lessen competition"). Are there any general prohibitions in your competition law?
Please tick one box below: Yes.

And what are they?

Article 8 of the law is a general prohibition against anti-competitive behavior. It prohibits monopolies, government monopolies and "practices which, pursuant to this law, diminish, impair or prevent competition and free participation in the production, processing, distribution and marketing of goods or services."

Horizontal agreements are agreements between firms directly in competition with one another.

4A. Price fixing [agreements between competitors to raise or fix prices]

Does your law have special provisions relating to price fixing? Yes.

Please specify the law and the provision of that law.

Article 9 (I) of the law.

And what is the nature of the provision?

The practice is prohibited in all cases as a per se violation of the law.

If covered by a general prohibition how does that prohibition treat the practice?

See article 8 of the law.

4B. Bid rigging [agreements on which firm will make the low bid for contracts, and what that bid will be]

Does your law have special provisions relating to bid rigging?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 9 (IV) of the law.

And what is the nature of the provision?

The practice is prohibited in all cases as a per se violation of the law.

If covered by a general prohibition how does that prohibition treat the practice?

See article 8 of the law.

4C. Market sharing [agreements to allocate specific customers or sales territories to particular firms and not to compete over the territory or customers of other firms]

Does your law have special provisions relating to market sharing?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 9 (III) of the FLEC.

And what is the nature of the provision?

The practice is prohibited in all cases as a per se violation of the law.

If covered by a general prohibition how does that prohibition treat the practice?

See article 8 of the law.

4D. Output limitation [agreements not to supply more than a specified quantity of goods or services]

Does your law have special provisions relating to output limitation?

Please tick one box bellow: Yes

Please specify the law and the provision of that law.

Article 9 (II) of the law.

And what is the nature of the provision?

The practice is prohibited in all cases, as a "per se" violation of the law.

If covered by a general prohibition how does that prohibition treat the practice?

See article 8 of the law.

4E. Collective boycotts [agreements between competitors not to deal with firms that supply other firms in their market]

Does your law have special provisions relating to collective boycotts?

Please tick one box below: No

If covered by a general prohibition how does that prohibition treat the practice? The practice may fall under Article 10 (VI) of the law. As such it is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable. It is analyzed as a relative monopolistic practice, as a specific case of a broader definition of boycott occurring between competitors or non competitors.

4F. Trade association activities [agreements between members of a trade association]

Does your law have special provisions relating to trade association activities? Please tick one box below: Yes

Please specify the law and the provision of that law.

According to article 5 of the Regulations, recommendations or instructions issued by trade or bussiness associations aimed at carrying out conducts included in article 9 of the FLEC, will give rise to the presumption of the existence of an absolute monopolistic practice.

4G. Other horizontal agreements

Does your law have special provisions relating to other horizontal agreements which we have not mentioned above?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 9 (I) of the law.

Please list the other horizontal agreements and specify the nature of the provisions. i.e. Is the practice (a)prohibited in all cases. (b) presumed to be in contravention of the general prohibition. (c) subject to review by the competition authorities and may be prohibited by administration decree if unreasonable.

Article 9 section I also prohibits the exchange of information having the aim or effect to fix, concert, or manipulate the purchase price or sale of goods or services supplied or demanded in the market. It is treated as a "per se" violation.

Monopolization and dominant firm provisions are aimed at individual firms with market power. Such firms may be able to use their market power to restrict the competitive process or to charge excessive prices.

5A. General provisions

Does your law have general provisions prohibiting monopolization or dominant firm behavior?

Please tick one box below: Yes

Please specify the law and the provision of that law.

Articles 2, 8, 10, 11, 12 and 13 of the law.

What type of behavior is this provision aimed at and what is the nature of the provision?

Monopolization and dominant firm behavior are treated as relative monopolistic practices and as such the FLEC requires that the alleged responsible party has substantive power in the relevant market. Also, the dominant firm's conduct must have the purpose or effect to unfairly drive other economic agents from the market, substantially impede their access to the market, or establish exclusive advantages in favor of one or more persons, as set out in Article 10 of the law.

5B. Excessive prices

Are there any provisions prohibiting dominant firms from charging excessive prices?

Please tick one box below: No.

5C. Presumptions of dominant position

Are there any provisions defining a dominant position, or creating a presumption that firms with a particular market share or size are in a dominant position?

Please tick one box below: Yes

Please specify the law and the provision of that law.

Articles 12 and 13 of the law.

Describe the provision

Article 13 establishes criteria to be used in order to determine whether an economic agent possesses substantial power in the relevant market. The latter is determined following the criteria set out in article 12.

In addition, articles 9, 10, 11, 12 and 13 of the Regulations give further guidance on these criteria.

5D. Predatory pricing [selling at below cost for the purpose of driving out competitors]

Are there any specific provisions relating to predatory pricing?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (VII) of the law and article 7 (1) of its regulations

What type of behavior is this provision aimed at and what is the nature of the provision?

Predatory pricing is not explicitly prohibited by the law, however its regulations establish that it is a relative monopolistic practice and as such it is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

5E. Refusals to deal

Are there any specific provisions relating to "refusals to deal" by dominant firms?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (V) of the law treats unilateral action consisting in refusing to sell or supply to certain agents available goods or services that are normally offered to third parties, as a relative monopolistic practice.

What type of behavior is this provision aimed at and what is the nature of the provision?

Please refer to question 6H.

5F. Discriminatory behavior [selling to some customers, particularly associated companies, on different terms to others]

Are there any specific provisions relating to discriminatory behavior by dominant firms?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (VII) of the law and article 7 section IV of its regulations

What type of behavior is this provision aimed at and what is the nature of the provision?

Discriminatory behavior is defined as a relative monopolistic practice according to the FLEC's regulations. As such it is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

5G. Exclusive dealing [requiring a retailer or distributor not to sell products competing with the supplier's products]

Are there any specific provisions relating to exclusive dealing by dominant firms?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (IV) of the law.

What type of behavior is this provision aimed at and what is the nature of the provision?

Exclusive dealing is defined as a relative monopolistic practice. As such it is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

5H. Tie-ins [requiring purchasers of one product to purchase other products from the same supplier]

Are there any specific provisions relating to tie-ins by dominant firms?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (III) of the law.

What type of behavior is this provision aimed at and what is the nature of the provision?

Please refer to question 6D.

5I. Third line forcing [requiring purchasers of one product to purchase other products from named suppliers]

Are there any specific provisions relating to third line forcing by dominant firms?

Please tick one box below: Yes

Please refer to question 6E.

5J. Territorial restrictions [specifying that the retailer or distributor may not resell outside of a defined territory]

Are there any specific provisions relating to territorial restrictions by dominant firms?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (I) of the law.

What type of behavior is this provision aimed at and what is the nature of the provision?

Please refer to question 6F.

5K. Customer restrictions [specifying that the retailer or distributor may only deal with specified customers]

Are there any specific provisions relating to customer restrictions by dominant firms?

Please tick one box below: Yes

Please refer to question 6G

5L. Other specific provisions

Are there any other specific provisions relating to monopolization or dominant firm behavior in your law.

Please specify the law and the provision of that law.

Article 7 (III) of the Regulations to the FLEC.

What type of behavior is this provision aimed at and what is the nature of the provision?

Cross subsidization is established as a relative monopolistic practice.

Vertical restraints are restrictions imposed by supplying firms upon distributors or retailers on matters such as the price at which the good may be sold, what other products the distributor must or must not sell, or the territory in which the good may be sold.

6A. Resale price maintenance [specification of minimum price at which the product may be resold to customers]

Does your law have special provisions relating to resale price maintenance?

Please tick one box bellow: Yes

Please specify the law and the provision of that law.

Article 10 (II) of the law.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6B. Maximum resale price maintenance [specification of a maximum price at which the product may be resold to customers]

Does your law have special provisions relating to maximum resale price maintenance?

Please tick one box bellow: Yes.

Please specify the law and the provision of that law.

Article 10 (II) of the law.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6C. Exclusive dealing

Does your law have special provisions relating to exclusive dealing?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (IV) of the law.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6D. Tie-ins

Does your law have special provisions relating to tie-ins?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (III) of the law.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6E. Third line forcing

Does your law have special provisions relating to third-line forcing?

Please tick one box below: Yes

Please specify the law and the provision of that law.

Article 10 (III) of the law refers to a broader prohibition of practices requiring purchasers of one product to purchase a different product, without defining who supplies it.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6F. Territorial restrictions

Does your law have special provisions relating to territorial restrictions?

Please tick one box below: Yes

Please specify the law and the provision of that law.

Article 10 (I) of the law. The first section refers to exclusive distribution settled in terms of geographic localization, among others.

And what is the nature of the provision?

The practice is subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

6G. Customer restrictions

Does your law have special provisions relating to customer restrictions?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10(I) of the FLEC makes reference to customer distribution or allocation among non competing economic agents.

And what is the nature of the provision?

It is analyzed as a relative monopolistic practice.

6H. Other non-price vertical restraints

Does your law have special provisions relating to other non-price vertical restraints which we have not mentioned above?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 10 (I), (V) and (VII) of the law.

Section I refers to the imposition of obligations not to manufacture or distribute goods or services for a determined period of time or for a period of time subject to determination.

Section V refers to refusals to deal.

Section VII is a generic provision for all other cases or practices that affect the process of competition.

These three practices are subject to review by the competition authorities and may be prohibited by administrative action if unreasonable.

Mergers are the joining together of two or more firms into an existing firm or to create a new firm. Similar effect can often be achieved by the acquisition of business units or business assets from another firm or the creation of a joint venture. Competition laws often treat all three activities under the same provision.

8A. Does your law include a prohibition for anti-competitive mergers and acquisitions?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 16 of the law.

And what is the prohibition?

The law prohibits mergers and acquisitions (concentrations) having the intention or effect of damaging, lessening or impeding the competitive process in the market.

8B. Does your law contain any provisions presuming certain mergers to be anti competitive (for example if they exceed a given market share)?

Please tick one box below: Yes

Please specify the law and the provision of that law.

Article 17 and 18 of the law(which, in turn, makes reference to articles 12 and 13) and article 10 of the Regulations

And what are the presumptions?

Article 17 sets out certain presumptions such as: i) the acquisition of unilateral price fixing capacity or to restrict supply in the relevant market without any competitors being able to offset that power, resulting from the merger; ii) the potential or actual aim of displacing economic agents or halting market access and iii) enabling economic agents to carry out monopolistic practices.

Further criteria regarding efficiency gains and effects of the mergers are established in article 10 of the regulations, please refer to them.

8C. Does your law require firms involved in mergers or acquisitions to notify competition agencies?

Please tick one box below: Yes.

Please specify the law and the provision of that law.

Article 20 of the law.

And when is the notification required?

Following article 20 of the FLEC, notification is required before the merger takes place, while article 17 of the Regulations gives further details of this requirement.

8D. And what are the time limits for notification?

There is a pre-merger notification procedure to aid the Commission in detecting anticompetitive mergers. This procedure allows a maximum period for investigation and solution of 45 days which may be extended for an additional 120 days following completion of the file.

8E. If the law requires firms to notify the competition agency or agencies, what criteria are used to identify which mergers must be notified?

Please refer to Article 20 of the law which establishes three thresholds which determine which mergers must be notified: i) if the value of a single transaction or series of transactions amounts to more than 12 million times the minimum general wage prevailing in the Federal District (mgwfd), (approximately equivalent to US$ 45.2 million); ii) if a single transaction or a series of transactions imply accumulation of 35 percent or more of the assets of an economic agent whose assets or sales amount to more than 12 million times the mgwfd; or iii) if the assets or sales volume of two or more economic agents taking part in a transaction total, jointly or separately, more than 48 million times the mgwfd (US$ 180.2 million).

8F. If the law does not require firms to notify the competition agency of mergers, does it allow for voluntary notification?

Not applicable.

8G. For the competition agency to stop or prevent anti-competitive mergers and acquisitions, which of the following applies?

The main competition agency can take administrative actions.