In Costa Rica, a bill is in progress that contemplates eliminating fines for the first member of a cartel that recognizes and denounces to the authorities that has engaged in monopolistic practices.
As part of the bills for Costa Rica's entry into the OECD, deputies voted in second debate file No. 21.303, Law strengthening the competition authorities of Costa Rica, reported last August 29 the Legislative Assembly.
A program of "clemency" for companies that cooperate with information on anticompetitive practices in the sector is part of what is being proposed for the bill that will be analyzed in Congress.
The bill presented by the Ministry of Economy in May 2015 is being discussed in Congress, where they are working on a draft with changes to the text. The proposed leniency regime"... could include economic agents that take part in or have become involved in anticompetitive practices and who intend to cooperate with the investigations."
Four months ago mergers and acquisitions in Costa Rica were conducted without any governmental control.
Now, operations of this type over $15 million must be authorized by the Commission to Promote Competition (COPROCOM) in the first four months of rule of law, four mergers or acquisitions of companies have been authorized
Nación.com reports: "It is related to the purchase of the dairy company Monteverde by Sigma Alimentos, the acquisition of Archives Beeche by Document Management Solutions SRL (DMS), the sale of El Lagar to Ashland Financial SA and the sale of Almacenes El Colono to Agricultore (sic) Advisory Corp. SA ".
As of April 5 mergers and acquisitions will have to be approved at the Antitrust Commission, part of the Ministry of Economy, Industry and Trade, before they can take place.
From that date, the Antitrust Commission, at the Ministry of Economy, Industry and Commerce (MEIC), will have the power to approve or deny deals, if it is concluded that they would result in undue concentration of business.
The Law on Promotion of Competition and Effective Consumer Protection recently approved typifies monopolistic practices and changes the rules on economic groups.
Two of the most important changes are expanding the scope of the law, which now includes public service employees in cases of concessions and the introduction of a new absolute monopolistic practice: the agreement between competitors to 'refuse to buy or sell goods or services'.
In order to avoid paying penalties after a merger it is possible to obtain endorsement of the operation from the Commission to Promote Competition (COPROCOM).
A statement from the COPROCOM reads:
In Costa Rica, unlike most countries with greater developments in Competition Law, control of concentrations is provided for after the event, ie, once the transaction has occurred.
The reform, published in the Official Journal, includes regulations for advertising.
It provides an effective process to procedures due to complaints from consumers.
"It also creates the 'consumer associations net ' as an impulse from the state to organized civil societies, and designating the Department of Consumer Advocacy as the entity which will coordinate the efforts between these organizations and public institutions," according to Elfinancierocr.com.
"The monopoly itself is not the problem, the problem is the abuse that is committed" Erick Coyoy, Minister of Economy.
The main priorities set by the Minister of Economy revolve around the obligations of the country and the region, the agreements reached with the European Union, which refer to integration of the isthmus and in particular customs and promoting market competition.
A law regulating monopolistic behavior received yesterday the initial approval in Congress, despite the dissatisfaction of business groups.
Members of the Committee on Economic Affairs ruled the project called 'Competition Promoting Act', which create the Commission for the Promotion of Competition (COPROCOM) and powers it to confiscate business documents, if authorized by a judge.