The Competition Tribunal ruled in favor of International Tobacco Marketing Limitada (Philip Morris), in a complaint against Compañía Chilena de Tabacos S.A. (Chiletabacos), for actions contrary to free competition, consisting in the imposition of artificial barriers to entry to the market.
The Tribunal stated that Chiletabacos had a dominant position in the market, and had added strategic barriers to entry to the structural barriers already present. Therefore, the Tribunal declared certain stipulations in exclusivity contracts with certain companies null, and ordered it to abstain from including said stipulations in future contracts.
The Tribunal also warned the defendant, stating that from now on it must not prevent or hinder the exhibition and sales of its competitors’ cigarettes in points of sales.
Compañía Chilena de Tabacos S.A. had to pay a fine of 10,000 Annual Tributary Units (around US$ 9.2 million).
The Supreme Court confirmed the Competition Tribunal’s ruling.