The Market Power Control Act of Ecuador

Vol. 43 No. 1


Leonardo Sempértegui V. is a partner at Sempértegui Ontaneda Abogados in Quito, Ecuador.

The Organic Act for the Regulation and Control of Market Power (the Act) was enacted on October 13, 2011. Its primary purpose is to prevent, correct, eliminate, and punish abuse of consumers by economic operators; prevent restrictive or unfair practices; and establish a fair, supportive, and sustainable social economic system.

As in any other system of antitrust or competition law, the scope of the Act is directed to the companies and economic entities that have market power, which is defined in the Act. It is important to clarify that, before this law was enacted, Ecuador had no legal instrument to regulate unfair economic practices, which, in other countries, have been considered either legal violations or even crimes.

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