New Law against Unfair Competition in Ecuador
On 29 August 2025, the Organic Law on Regulation against Unfair Competition was published in the Official Gazette Supplement No. 113, marking a milestone in the regulatory development of free competition in Ecuador. The law, approved by the National Assembly with 114 affirmative votes, redefines the legal treatment of unfair practices in the country.
The main novelty of this law is the classification of acts of unfair competition in two categories: simple and aggravated. Aggravated practices are those that affect the economic public order, distorting or affecting the competition regime. Simple practices, on the other hand, have an impact on the particular interests of economic operators without compromising the competition system as a whole.
The law also redistributes competences among the enforcement bodies: the Superintendence of Economic Competition (SCE) will be exclusively in charge of aggravated practices, with the power to act ex officio or at the request of a party, while civil judges may hear both simple and aggravated practices, through the summary procedure foreseen in the General Organic Code of Proceedings.
The sanctions envisaged by the SCE can reach up to 12% of the offender's gross income for the previous financial year, in addition to coercive fines of up to 200 basic unified basic wages (RBU) per day. Legal action is also available, whereby those affected may request the cessation of the conduct, rectification of false information, preventive measures and compensation for damages.
ECIJA GPA's Competition Law Department has prepared a detailed briefing note analysing the legal scope of this reform and the practical implications for companies, economic operators and trade associations.
