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ARTICLE · 02 NOVEMBER 2016

CADE Approves New Resolution On Associative Agreements

Mayer Brown
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On October 18, 2016, The Administrative Council for Economic Defense ("CADE") approved a new Resolution on Associative Agreements ("Resolution No. 17" or "New Resolution")...

BrazilAntitrust/Competition Law
Eduardo Gaban
Eduardo Gaban
Fernanda Calmon
Fernanda Calmon
Thaís Fioruci D’Antonio
Thaís Fioruci D’Antonio
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On October 18, 2016, The Administrative Council for Economic Defense ("CADE") approved a new Resolution on Associative Agreements ("Resolution No. 17" or "New Resolution")1, which regulates the hypotheses for filing of Associative Agreements pursuant to Law No. 12,529/2011, in an effort to clarify definitions and provide more legal certainty regarding the necessity for filing of these kind of agreements with the Brazilian antitrust authority's analysis.

Thus, according to Resolution No. 17, any agreement with a term of two (2) or more years must be considered associative, which establishes a joint enterprise for development of economic activity, provided that, cumulatively: (i) the agreement establishes sharing of risks and outcomes for the economic activity; and (ii) the contracting parties2 are competitors in the relevant market in relation to the subject matter of the agreement.3

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