Thursday, April 11, 2013

Status of Amendment of Antimonopoly Act of Japan


In March 2010, the previous Democratic Party of Japan (DPJ)’s government submitted the amendment bill of the Antimonopoly Act to the No.174 Diet in order to change the procedures for challenging orders issued for antitrust violations by the JFTC.

The proposed amendments would abolish the administrative hearings on alleged antitrust violations that were conducted by the JFTC and establish certain due process rights for parties being investigated prior to the issuance of a JFTC order.  The bill, however, had never been discussed at the Diet due to the impact of the Great East Japan Earthquake and the twisted Diet.  The bill was finally dead along with the dissolution of the House of Representatives of the Diet in November 2012.

The current ruling party is the Liberal Democratic Party (LDP).  The LDP’s government has not resubmitted a bill to amend the Antimonopoly Act.

On April 10, 2013, six business organizations (Keidanren (Japan Business Federation), Japan Chamber of Commerce and Industry (JCCI), Keizai Doyukai (Japan Association of Corporate Executives), National Federation of Small Business Associations, Kansai Economic Federation, and American Chamber of Commerce in Japan (ACCJ)) presented a joint statement on the prompt amendment of the Antimonopoly Act.  They propose that the Japanese government should resubmit a bill to abolish the JFTC’s hearing procedure for administrative appeal to the current Diet session; and the government should seek the prompt passage of the bill.

It is unclear whether and when the government will submit the bill again; however, considering the pressure from the business world, there will be some movement in near future.