The Discretionality in the Ecuadorian Commitment Decisions Regime

Transgression to the Goals of the LORCPM

Abstract

One of the challenges that competition agencies face is the efficient use of their scarce resources. Commitment decisions are a mechanism that offer a conventional alternative to traditional punitive processes. This legal tool allows to save resources for both parties through measures that cease and remedy the effects of antitrust behavior. Administrative discretion is essential to comply with the purposes of the regime. However, in practice the SCPM by means of a secondary rule has canceled this power and has made it regulated. This has allowed behaviors as serious as cartels to take advantage of this mechanism to avoid sanctions. This makes it hard to fight cartels and reduces the effectiveness of leniency programs and compensated denunciation. Legal assets protected by competition law are at risk as well as the scope of the purposes of the law.