FECC issues Competition Agenda for Public Procurement

On 17 July 2018 the Federal Competition Commission (FECC) issued its Competition Agenda for
Public Procurement, in which it presented its findings regarding competition issues that arise during
the public procurement process. In the agenda, the FECC also proposed certain courses of action
(both administrative and legislative) to promote effective competition in public procurement.

Legal privilege stands: FECC must guarantee its applicability

On December 8 2016 the First Collegiate Tribunal on Administrative Matters Specialised in Economic
Competition, Broadcasting and Telecommunications recognised the concept of attorney-client
privilege and the attorney-client work product doctrine in an antitrust context for the first time (for
further details please see “Courts recognise attorney-client privilege in antitrust matter for first
time”). However, the tribunal’s ruling was non-binding and could be used by specialised judges only
as a guide.

FECC launches project to develop guidelines for analysis of collaboration agreements between competitors

In January 2017 the Federal Economic Competition Commission (FECC) issued its Annual Working Plan. In it, the FECC recognised that one of its strategic goals is to communicate to economic agents
how anti-competitive practices will be investigated and which actions agents may adopt to prevent
potential risks. In particular, the FECC declared that one of its goals for 2017 would be to launch a
project to develop guidelines for the analysis of collaboration agreements between competitors.
According to the FECC, this project will:
l clarify key concepts on the subject;
l collect best practices on the analysis of collaboration agreements among competitors;
l indicate specific criteria to identify the activities that should be investigated; and
l highlight collaboration agreements that may be considered collusive.

FECC penalises individuals for commissioning absolute monopolistic practice in tortilla market

Corn tortillas are a fundamental source of nutrition for Mexican families. Given the importance of the
corn tortilla market, it has come under the scrutiny of several authorities, including the Attorney
General for Consumer Protection (PROFECO) and the former Federal Competition Commission (CFC).
(1) For example, in February 2016 PROFECO suspended three corn tortilla retailers from Hermosillo,
Sonora, for increasing their prices to up to Ps24 (approximately $1.3) a kilo for no justifiable reason.

Do you really know your company’s financial status? Can you make quick and reliable decisions with the financial information you have? (in Spanish)

Executives of small and medium-sized enterprises are often occupied with the daily operations of the business—generating revenue, meeting customer demands, etc.—and rarely take the time to keep their financial records up to date. As the business lifecycle progresses, the need for human capital and strategic analysis intensifies in both quantity and quality. This, in turn, requires ongoing payroll or external expenses that companies may not always be able to afford or sustain, especially those with variable revenue cycles.

FECC initiates first criminal action against probable cartel

Criminal action is considered to be an effective tool to dissuade cartels across the globe. It was
introduced into the Mexican competition law framework in 2011,(1) after the Federal Law of
Economic Competition and the Federal Criminal Code were amended. Further, in 2014, as a
consequence of the new Federal Law of Economic Competition’s enactment, the applicable
dispositions on criminal liability were modified to increase penalties and adjust some procedural
issues.

Competition and antitrust in the digital age

While the digital economy offers abundant opportunities to customers and retailers alike, it also raises a number of competition concerns, including the impact on bricks-and-mortar businesses, the potential for abuse of market power by major digital platforms and the challenge of fostering online competition while preventing free riding. Competition authorities must evolve and adapt traditional antitrust principles and approaches to meet the challenges of the rapidly changing digital market.