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Philippine Competition Act Briefer
Philippine Competition Act Briefer
Philippine Competition Act Briefer
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SECTION 1. Designation of Competition Authority. The DOJ is hereby designated as the Competition Authority
with the following duties and responsibilities:
a. Investigate all cases involving violations of competition laws and prosecute violators to prevent, restrain
and punish monopolization, cartels and combinations in restraint of trade;
b. Enforce competition policies and laws to protect consumers from abusive, fraudulent, or harmful corrupt
business practices;
c. Supervise competition in markets by enswing that prohibitions and requirements of competition laws are
adhered to, and to this end, call on other government agencies and/or entities for submission of reports and
provision for assistance;
e. Prepare, publish and disseminate studies and reports on competition to inform and guide the industry and
consumers; and
f. Promote international cooperation and strengthen Philippine · trade relations with other countries,
economies, and institutions in trade agreements.
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Section 13. Office for Competition (OFC), Powers and Functions. — The OFC under the Department of Justice
(DOJ-OFC) shall only conduct preliminary investigation and undertake prosecution of all criminal offenses arising
under this Act and other competition-related laws in accordance with Section 31 of Chapter VI of this Act. The OFC
shall be reorganized and allocated resources as may be required therefor to effectively pursue such mandate.
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The Philippine Competition Act (PCA) or R.A. 10667, enacted on
July 21, 2015 is the primary law of the Philippines for promoting fair
market competition. It is based on the premise that efficient market
competition is an effective mechanism for allocating goods and services,
and that safeguards are needed to maintain competitive conditions. It is
expected to improve consumer protection and help accelerate investment
and job creation in the country, consistent with the national
government’s goal of creating more inclusive economic growth.
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The PCC is composed of a Chairman and four (4) Commissioners
who serve for a fixed term of seven (7) years. For the first set of
appointments to the PCC, the Chairman and two Commissioners will
serve for 7 years, and the other two for 5 years. Subsequent appointees
will then have fixed terms of 7 years.
The Commission shall have original and primary jurisdiction over the
enforcement and implementation of the provisions of this Act, and its
implementing rules and regulations. The Commission shall exercise the
following powers and functions:
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excess profits under such reasonable parameters that shall be
prescribed by the rules and regulations implementing this Act;
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1. Reviewing economic and administrative
regulations, motu proprio or upon request, as to
whether or not they adversely affect relevant market
competition, and advising the concerned agencies
against such regulations; and
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In these cases, further review is required before PCC makes a
decision. The review entails balancing the efficiency benefits of the
questioned act against its anti-competitive implications.
Examples:
Mergers or Acquisitions
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Entities (whether companies or individuals) are prohibited from
abusing their dominant position by engaging in conduct that would
substantially prevent, restrict or lessen competition.
Related Bills:
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Senate Bill No. 1711 or “An Act Amending Sections 7 and 17 of
the Republic Act No. 10667, otherwise known as the Philippine
Competition Act, and for other purposes.” filed last February 27,
2018.
- Under the current law, PCC can look into mergers and
acquisitions worth P1 Billion and above. Parties to such
merger or acquisition are required to first get clearance
from the PCC before they can consummate any
agreement.