CADE’s Attorneys have presented an important opinion in Administrative Proceeding n. 08012.005255/2010-11 concerning a sensitive issue for the authority, its jurisdiction to investigate and try alleged international cartels, considering that Brazilian legislation determines that if there are potential effects in the country there is jurisdiction. In their opinion, the Attorneys state that an “absolute”, “pure and literal” application of the effects (and potential effects) theory would imply “scrutiny of almost all cartels in the world by almost all of the antitrust authorities in the entire planet, including CADE”. As so, the opinion states that it would be necessary to verify the matter of effects (and consequently jurisdiction) in a rational and balanced manner. After commenting the leading international cartel cases already scrutinized by the Tribunal, the Attorneys argue that in all cases there was a link in order to associate, “with relative concreteness”, the conduct to the Brazilian market, whether direct (involving a Brazilian company) or indirect (Latin America as part of the agreement). In the proceeding in which the opinion was issued, the Attorneys found that none of the documents mentioned Brazil and that there were only mere suppositions and deductions that do not hold evidential value; therefore, they recommended closing the procedure.
2016/08/22CADE’s Attorneys have presented an important opinion in Administrative Proceeding n. 08012.005255/2010-11 concerning a sensitive issue for the authority, its jurisdiction to investigate and try alleged international cartels, considering that Brazilian legislation determines that if there are potential effects in the country there is jurisdiction. In their opinion, the Attorneys state that an “absolute”, “pure and literal” application of the effects (and potential effects) theory would imply “scrutiny of almost all cartels in the world by almost all of the antitrust authorities in the entire planet, including CADE”. As so, the opinion states that it would be necessary to verify the matter of effects (and consequently jurisdiction) in a rational and balanced manner. After commenting the leading international cartel cases already scrutinized by the Tribunal, the Attorneys argue that in all cases there was a link in order to associate, “with relative concreteness”, the conduct to the Brazilian market, whether direct (involving a Brazilian company) or indirect (Latin America as part of the agreement). In the proceeding in which the opinion was issued, the Attorneys found that none of the documents mentioned Brazil and that there were only mere suppositions and deductions that do not hold evidential value; therefore, they recommended closing the procedure.
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