Abstract
The discussion regarding what should be the proper legal treatment for loyalty discounts (also known as “fidelity discounts” or “loyalty rebates”) in antitrust law is characterized by a strong lack of consensus among enforcement authorities and scholars, being no agreement as to whether it entails a procompetitive business practice or an illegal means of distorting competition. This paper aims making a contribution to the debate by offering a modest empirical analysis of the decision that the Competition Court of Chile (Tribunal de Defensa de la Libre Competencia or “Competition Court”) issued in the case Canada Chemicals v. Compania Chilena de Fosforos (the “matches case”), which found the loyalty discounts anticompetitive.
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