Signing of the Agreement between the Government of Japan and the Government of Canada concerning cooperation on anticompetitive activities

September 7, 2005

On September 6 (Japanese time September 7), the Agreement between the Government of Japan and the Government of Canada concerning cooperation on anticompetitive activities was signed in Ottawa by Mr. Sadaaki Numata, Japanese Ambassador to Canada, and Ms. Sheridan Scott, Commissioner of Competition, Department of Industry. Mr. Kazuhiko Takeshima, Chairman of the Fair Trade Commission of Japan, also attended the signing ceremony.
Contents of the Agreement
The Agreement includes the following major elements.

(1) Notification

The parties notify each other of the enforcement activities that one side considers may affect the important interests of the other party (e.g. in case that the competition authority of Canada investigates a Canadian branch of a Japanese corporation).

(2) Cooperation

The competition authority of each party renders assistance to the other (e.g. a provision of information).

(3) Coordination

When the competition authorities of both parties pursue enforcement activities with regard to mutually related matters, they consider coordination of the activities in order to ensure effectiveness and avoid contradiction of actions taken by both parties.

(4) Request for enforcement activities

If anti-competitive activities carried out in the territory of one party adversely affect the important interests of the other party, the latter may request the former's competition authority to initiate appropriate enforcement activities.

(5) Consideration of important interests

Each party gives careful consideration to the important interests of the other party throughout all phases of its enforcement activities.
Since the negotiations towards conclusion of this Agreement was launched in November 2002, the Deligations of Japan and Canada held several rounds of negotiations, and as a result have reached agreements in principle on major elements of the Agreement in January 2005. Subsequently, the Governments of Japan and Canada concluded their respective domestic processes and signed the Agreement today. This Agreement will enter into force on the thirtieth day after the date of the signature (October 6, 2005).
The conclusion of this Agreement is expected to lead to effective enforcement measures against international anticompetitive activities, development of cooperation between the competition authorities of Japan and Canada, and avoidance of conflicts concerning extraterritorial execution of the jurisdiction of Canadian competition laws.

(Reference)

Japan has concluded cooperation agreements on anti-competitive activities with the United States in October 1999 and with the European Community in July 2003 respectively.

(END)

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