Page 3 - Bulletin No. 14 - Free Competition

Case against the Laundries and Panama, confirms the Judgment No. 109-15 of December
Lavamatics of Chorrera 22, 2015 of the Ninth Civil Circuit Court, by which it is PANAMÁ
declared that the Economic Group formed by Cervecería BOLETÍN de Libre Competencia
Nacional, S.A. and its Subsidiaries Distribuidora
Comercial, S.A., Refrescos Nacionales, S.A. and
Financiera Pasadena, S.A. (merged with Refrescos
Nacionales, SA surviving the latter), incurred in relative
monopolistic practices, according to the provisions of
articles 5 and 14 numeral 4, both of Law 29 of 1996, now
articles 7 and 16 numeral 4 of the Law 45 of October 31,
2007.

It confirms what is stated in the judgment under appeal,
The Third Superior Court of Justice, through the Judgment where access to the claims of ACODECO, stated that the
of November 8, 2017, confirms the Judgment No. 60 of violations of the rules of competition originated in response
August 21, 2014 of the First Court of Civil Circuit of the to the economic group mentioned above, in the exercise of
Third Judicial Circuit of Panama, by which the commission its substantial market power, raised barriers to entry in the
was declared absolute monopolistic practices by a group of channel of distribution of the product called beer, and/or
Laundries and Lavamatics located in the sector of prevented the permanence and entry of their only direct
Chorrera. competitor, as well as other future competitors in this
market.
The total of sixteen (16) Laundries and Lavamatics were
sued by ACODECO when incurring in the commission of It is also declared that the infractions to articles 5 and 14
an absolute monopolistic practice, typified in article 13, numeral 4, both of Law 29 of 1996, now articles 7 and 16
numeral 1 of Law 45 of October 31, 2007. numeral 4 of Law 45 of October 31, 2007, produced their
effects in the market, signing contracts for the supply of
The absolute monopolistic practice declared by the judicial beers conditioned by exclusivity agreements, which were
authorities consisted in the act, combination, arrangement presented in different modalities including the figure of the
or agreement with the purpose of concluding, agreeing and loan, with exclusive clauses regarding the sale of the beer
exchanging information tending to the fixing of the prices of product of the defendant group; monopolistic practices that
laundry service in cold water, hot water and drying of are classified as illegal, therefore prohibited, according to
clothes in the district of Chorrera, restricting in a prohibited the competition legislation in Panama.
and illicit manner the competition in that area and directly
affecting consumers. In accordance with the ruling issued by the Third Superior
Court of Justice, and once it has been enforced, it is up to
In accordance with the ruling issued by the Third Superior ACODECO to impose administrative sanctions for relative
Court of Justice, and once it has been enforced, it is up to monopolistic practices in accordance with the provisions of
ACODECO to impose administrative sanctions for the the law.
commission of absolute monopolistic practices as provided
by Law 45 of 2007.

Case against the companies Cervecería
Nacional, S.A. and its Subsidiaries Distribui-
dora Comercial, S.A., Refrescos Naciona-
les, S.A., and Financiera Pasadena, S.A.

Through the ruling of November 30, 2017, the Third
Superior Court of Justice of the First Judicial District of

PRESENT 3