The Administrative Council for Economic Defence (CADE) tribunal recently fined Unilever R29.4 million for abusing its dominant position in the impulse ice cream (ie, ice cream for immediate consumption) market. According to CADE, Unilever had violated competition law by adopting different types of agreement with its points of sale, which had resulted in their de facto exclusivity to sell Unilever ice creams under the brand Kibon.
The Administrative Council for Economic Defence (CADE) recently requested, for the second time, the compulsory notification of a transaction that did not meet the legal turnover thresholds. This right allows the authority to review the business strategies of successive small acquisitions or acquisitions of nascent rivals in the event that they do not trigger the turnover thresholds. The risk that the CADE may require notification seems to increase following complaints by competitors or third parties.
In recent years, Brazil's antitrust authority – the Administrative Council for Economic Defence (CADE) – has undergone a reshuffling in terms of the composition of both the Administrative Tribunal (comprising commissioners) and the General Superintendence. Among the issues that have come before the reshuffled CADE, two investigations are particularly notable because they reveal a new trend in its approach to IP rights.
Since the start of 2018, following a period in which it focused on the persecution of cartels, the Administrative Council for Economic Defence (CADE) has directed more resources towards concluding pending abuse of dominance matters and occasionally launching new dominance cases. In so doing, the most pertinent question has become: how will CADE deal with dominance in future?
The Administrative Council for Economic Defence (CADE) and the Central Bank recently entered into a memorandum of understanding. This initiative strengthens the relationship between the two authorities and promotes greater cooperation among them for the analysis of merger cases and anti-competitive practices by financial institutions. It also represents an important step forward, signalling the end to the longstanding dispute between CADE and the Central Bank over jurisdictional conflicts.