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4. Case Report<br />

Topic: Fair Competition restrictive practices. Resolution Nº SPPLC/ 0007/2005<br />

Case: Televen vs. Venevision and Radio Caracas Television<br />

Who: Ministry <strong>of</strong> Production and Commerce – Superintendence for the Promotion<br />

and Protection <strong>of</strong> Fair Competition (PROCOMPETENCIA)<br />

When: February 24 th , 2005<br />

Where: Caracas – Venezuela.<br />

What Happened: Televen made a formal complaint against Venevision and Radio Caracas<br />

Television for the presumable commission <strong>of</strong> exclusionary practices, boycott<br />

and agreements for fixing fees and commercialization conditions in the<br />

advertising market.<br />

The plaintiff, which is a relatively small TV channel, alleged that Venevision<br />

and Radio Caracas Television, which are the biggest and older TV channels<br />

in Venezuela, were making practices to exclude Televen from the advertising<br />

and national TV investment market, by planning the programming and<br />

sharing the market thru fees and prices agreements and commercialization<br />

conditions for the advertisers, like making contracts which limited the<br />

possibility <strong>of</strong> contracting with Televen, in the pre-sale seasons.<br />

Televen also alleged that both channels were associated with a company<br />

named Sercotel, which collected the payments that the advertisers were<br />

making for the advertising spaces, and then shared it between the two<br />

channels.<br />

Both channels alleged, among other things, that they did not make<br />

agreements for sharing the market, and that their activities were common<br />

practices in the sector.<br />

Procompetencia decided that indeed there were arranged and exclusionary<br />

practices, since from the evidence was demonstrate the sharing <strong>of</strong> the<br />

investment <strong>of</strong> the advertisers and the existence from RCTV and Venevisión<br />

<strong>of</strong> an agreement <strong>of</strong> wills to distribute the market <strong>of</strong> advertising spaces. Also,<br />

that the preferential benefits that RCTV and Venevision had <strong>of</strong>fered to the<br />

advertisers in the pre-sale seasons, conditioning them to exclusivity,<br />

constituted an exclusionary practice.<br />

5. Case Report<br />

Topic: Coming into force <strong>of</strong> some dispositions <strong>of</strong> the Radio and TV Social Liability<br />

Act.<br />

When: March 8 th , 2005<br />

Where: Caracas, Venezuela<br />

What Happened: The Radio and TV Social Liability Act, which came into force last December<br />

8 th , 2004, postponed the validity <strong>of</strong> some <strong>of</strong> its disposition to lapses <strong>of</strong> three,<br />

six, nine, twelve, eighteen, twenty four and thirty six months. In this sense,<br />

last March 8 th came into force the following dispositions:<br />

• Adaptation <strong>of</strong> the TV and radio programs to each programming<br />

hours;<br />

• Broadcasting <strong>of</strong> one hundred percent (100%) <strong>of</strong> national<br />

production Propaganda;<br />

• Obligation <strong>of</strong> the TV channels to publish the programming<br />

guides. Also, before each program the station must announce the kind <strong>of</strong><br />

program and the classified elements that it contents; and to broadcast the<br />

programming according to the guides;

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