Andean Community Court rules on the interpretation of Articles 5 and 7 of Decision 608

Andean Community Court

The Court of Justice of the Andean Community (CJAC) analyzed the scope of articles 5 and 7 of Decision 608 amidst a preliminary judicial interpretation requested by a Bogota judicial authority, in relation to an annulment claim that Ingenio Carmelita filed against Resolution No. 80847 of the Colombian Competition Authority. Regarding article 5, the scope of “cross-border” stands out as the prerequisite for the application of the Decision, given applicable law governing anti-competitive behavior within a member country will be the national legislation of said country. Likewise, it establishes that the General Secretariat of the Andean Community (GSAC) will be competent to direct investigations when a cross-border matter arises, as long as the non bis in idem principle is not violated. Regarding article 7, the CJAC clarified the different types of cross-border collusion practices that may exist, such as market-sharing agreements or agreements that have the purpose or effect of preventing or hindering the access or duration of competitors.