THE AFFECTION OF THE FREEDOM OF CONTRACT THROUGH THE PRIOR MERGER CONTROL LAW, LAW 31112

Abstract

The right to Free Competition emerges as a necessity to regulate the economic market, particularly against the excesses of large industries. In Peru, this right was established in the 1990s, focusing mainly on controlling business behaviors. However, until 2019, Peruvian regulations lacked provisions regarding mergers and acquisitions, a recommendation made by the OECD. In response, Law 31112 was enacted in 2021, requiring prior authorization from INDECOPI to carry out mergers and acquisitions. This law poses a problem regarding the limitation of the right to freedom of contract, enshrined in the Constitution and the General Law of Companies. This study aims to analyze how this law affects freedom of contract in the country, considering established criteria and procedures.