Basic Law on Communication by Asamblea Nacional

BASIC LAW ON COMMUNICATION

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BASIC LAW ON COMMUNICATION

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BASIC LAW ON COMMUNICATION

My voice, your voice, our voice To democratize the word! To understand the scope of changes and guarantees introduced by the new Basic Law on Communication, the structural problem of communication in Ecuador must be understood. The underlying debate involves the legal and political scope that various social, political and economic stakeholders give to the notion of freedom of expression, a concept instated in the Universal Declaration of the Rights of Man. Regarding this, there were at least three options. The first was to re-create and perpetuate the liberal legal ideology that has colonized legal instruments and has actually distorted them in more ways than one. The second was to start up a truly innovative discourse about the rights to communication which would eliminate all traces of the former liberal ideology, as if the world were just born today, which would have ignored certain democratic values that had evolved historically. The third was to recognize the historical and political importance of the freedom of expression, as enshrined in international human rights instruments, but adding what had always been missing: a series of opportunities and services so that this freedom would be within the scope of all, so that it would no longer be a privilege that is only enjoyed by those on the highest rungs of our society. The latter is the political and legal option that the Basic Law on Communication is proposing with respect to the rights to communication: freedom with the opportunity to live it on a daily basis, freedom with responsibility, democratization of communication and its media, and strengthening democratic pluralism. On the basis of this legal and political vision, this lawâ&#x20AC;&#x2122;s most important innovations to tackle structural communication problems in Ecuador are: a) The legislationâ&#x20AC;&#x2122;s legal and political approach To counter the techno-mercantile approach proposed by the Law on Broadcasting and Television, as well as the Law on Telecommunications, the Basic Law on Communication was drafted on the basis of a human rights-based approach. In that regard, the rights to communication have been recognized in four specific areas: rights to freedom, rights to equality and interculturalism, rights to participation and the rights of communicators. b) The precarious working conditions of journalists The law supports and safeguards the rights of communication workers so that there will no longer be cases of working in precarious conditions. As of now, communication employers must pay their emplyees what is required by the salary table, affiliate them to social security, pay them overtime, provide them with paid vacation, include them in the companyâ&#x20AC;&#x2122;s profit-sharing system, and not expose them to risk without enough means or protection, among other norms. c) The concentration of radio and television frequencies The previous Law on Broadcasting and Television provided the possibility for one single person, whether a natural person or a legal entity, to have up to 96 radio and television frequencies. Thus, 17 persons could legally concentrate all radio and television frequency concessions. In view of this situation, the Basic Law on Communication clearly forbids concentration and does not allow awarding more than one frequency concession for radio matrix in AM and one in FM and no more than one frequency for television matrix to one natural person or legal entity throughout the country. d) Radio and television frequencies illegally obtained The Law has two provisions that make it possible to revert frequencies illegally obtained and that have been identified by the Committee to Audit Radio and Television Frequencies.

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BASIC LAW ON COMMUNICATION

e) Media monopolies and constraints on government and community media The most important change made by the Basic Law on Communication is the redistribution of frequencies for the benefit of government and community media, for two reasons: the ownership structure and access to media that use radio spectrum frequencies are substantially changed and the number of social players that can obtain radio and television concessions is broadened, pluralized and diversified so that they can create their own media. f) Prior censorship The Basic Law on Communication provides for reinforced protection to the freedom of expression and prevents prior censorship by public authorities and officials, as well as for the owners, directors and advertisers of the media. g) Changes to the institutional framework The Communication Regulation and Development Council has been established to draw up public politicies and to regulate enforcement of the law. And to guarantee that the administrative processing of a complaint filed by a citizen on the exercise of one or more rights to communication shall be completely autonomous, a Superintendency of Information and Communication has been established. h) Other major changes The Law enshrines the right of citizens to receive quality information of importance to the public; it forbids the media to adopt an institutional stance with respect to the innocence or guilt of persons brought to trial; it specifies the offense of media lynching to prevent persons from being discredited or having their credibility undermined by the coordinated and repeated broadcasting of information for that specific purpose; requires respect for the duty of all media to give all parties involved in legal proceedings the opportunity to voice their arguments equitably; it provides rules for publicity issued not only by government institutions but also private enterprises to be broadcast not simply on the largest media chains but also on rural, local, and community media and stipulates that domestic production account for at least 60% of audiovisual mediaâ&#x20AC;&#x2122;s daily program broadcasting, which is not only a major incentive for domestic producers and directors but also promotes all faces, ideas, identities, customs and social projects appear in the media.

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BASIC LAW ON COMMUNICATION

INDEX

BASIC LAW ON COMMUNICATION TITLE I Preliminary provisions and definitions

TITLE II Principles and rights

CHAPTER I

Principles

CHAPTER II Rights to communication

SECTION I

Freedom rights

SECTION II

Rights of communicators

SECTION III

TITLE III Media System

Rights to equality and interculturalism

CHAPTER I

Scope

CHAPTER II

Institutional framework For Regulation and Control

TITLE IV Regulation of contents

TITLE V Media

SECTION I

Public media

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SECTION II

SECTION III

SECTION IV

SECTION V

SECTION VI

SECTION VII

TITLE VI Radio spectrum

46 51 51 52

Private media Community media Transparency of the media Advertisement National production Public shows

TRANSITORY PROVISIONS AMENDMENT PROVISIONS REPEAL PROVISIONS FINAL PROVISION

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BASIC LAW ON COMMUNICATION THE PLENARY CONSIDERING: THAT, the first transitory provision of the Constitution of the Republic published in Office Register No. 449 of October 20, 2008 provides that the legislature adopt the Law on Communication; THAT, in the constitutional State governed by rights and justice, in line with the principles and standards of the Inter-American Convention on Human Rights, the rights to communication are recognized and that they include the following: freedom of expression, information and access on an equal footing to the radio spectrum and information and communication technologies; THAT, Article 384 of the Constitution of the Republic provides that the media system must ensure the exercise of the rights to communication, information and freedom of expression and must strengthen public participation; THAT, it is necessary to create suitable legislative mechanisms to ensure the full and effective exercise of the right to communication of all persons, both individually and collectively; THAT, it is indispensable to adapt a specialized legislative system that provides for the rights to free, intercultural, inclusive, diverse, and participatory communication in all fields of social interaction by every way and form, in their own language and with their own symbols; THAT, by promoting and creating social media, access on an equal footing to the use of radio spectrum frequencies is guaranteed to manage public, private and community radio and television stations; THAT, it is necessary to use constitutional, legal and technical mechanisms to consolidate the access and use of all forms of visual, auditory, sensory communication and others to enable the inclusion of persons with disabilities; THAT, the consolidation of legal instruments aimed at communication shall guarantee the allocation, using transparent methods and on an equal footing, of radio spectrum frequencies for the management of public, private and communication radio and television stations, in addition to make sure the common interest prevails in their use; THAT, legal tools must be installed to facilitate the creation and consolidation of public, private, and community media;

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The consolidation of legal instruments aimed at communication shall guarantee the allocation, using transparent methods and on an equal footing, of radio spectrum frequencies for the management of public, private and communication radio and television stations, in addition to make sure the common interest prevails in their use.

BASIC LAW ON COMMUNICATION

THAT, it is fair to prevent direct or indirect oligopolies or monopolies of the ownership of the media and the use of radio spectrum frequencies; THAT, at the initiative of the President of the Republic, Rafael Correa Delgado, Ecuadorians were called to voice, in the referendum held on May 7, 2011, their views on issues involving communication and its regulations and massively supported eliminating the influence of economic and political power over the media, as well as improving the quality of contents broadcast by the media, and the establishment of legal penalties to prevent an abusive and irresponsible use of the freedom of expression; and

Exercising the powers set forth in number 6 of Article 120 and number 2 of Article 133 of the Constitution of the Republic, issues the following: BASIC LAW ON COMMUNICATION

It is fair to prevent direct or indirect oligopolies or monopolies of the ownership of the media and the use of radio spectrum frequencies.

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BASIC LAW ON COMMUNICATION

BASIC LAW ON COMMUNICATION TITLE I Preliminary provisions and definitions Article 1. Goal and scope. The present law is aimed at developing, protecting and regulating, in the administrative sector, the exercise of the rights to communication as enshrined in the Constitution. Article 2. Ownership and enforceability of rights. All Ecuadorians and foreigners residing on a regular basis in the country, regardless of their position or duties in government administration of private-sector activities, as well as Ecuadorian nationals residing abroad according to the terms and scope on the basis of which Ecuadorian jurisdiction is applicable, are individual or collective owners of the rights set forth in the present Law. Article 3. Communicational contents. For the purposes of the present law, content shall mean any kind of information or opinion that is produced, received, disseminated and exchanged by the media. Article 4. Personal contents on Internet. The present law does not regulate information or opinions that are personally expressed on Internet. The present provision does not exclude criminal or civil proceedings that might be brought as a result of the infringement of other laws via Internet. Article 5. Media. For the purposes of the present law, the media consist of enterprises, public, private and community organizations and persons holding concessions for radio and television frequencies that provide public mass communication services using as their tools printed media or radio, televisions and audiovisual services by subscription, whose contents can be generated or reproduced by the media via Internet. Article 6. National media. Audiovisual media is construed as national media when its coverage reaches 30% or more of the countryâ&#x20AC;&#x2122;s population based on the latest national census or if the system is comprised of one matrix or six more repeaters whose coverage reaches the population of two or more natural regions of the country. The same status is given to those national print media whose publication circulates in one or more provinces of the territory of the Republic of Ecuador whose population individually or jointly accounts for 30% or more of the total number of inhabitants of the country on the basis of the latest national census. To account for and check alignment with the above-mentioned parameter, all of the companies that operate the same national audiovisual or print medium, whether directly, as a regional edition or any other mechanism, shall be considered together. www.asambleanacional.gob.ec

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For the purposes of the present law, the media consist of enterprises, public, private and community organizations and persons holding concessions for radio and television frequencies that provide public mass communication services using as their tools printed media or radio, televisions and audiovisual services by subscription, whose contents can be generated or reproduced by the media via Internet.

BASIC LAW ON COMMUNICATION

National media cannot belong either wholly or partially, directly or indirectly, to foreign organizations or enterprises domiciles outside the State of Ecuador or to foreign nationals, unless they are foreign nationals who reside regularly in the countryâ&#x20AC;&#x2122;s territory. Article 7. Information important to the public or of general interest. It means information disseminated by the media about public matters and matters of general interest. Information or contents considered entertainment disseminated by the media acquire the status of information important to the public when, in these contents, the right of persons to honor or other rights enshrined in the Constitution is breached. Article 8. Prevalence in the broadcasting of contents. The media shall generally disseminate as a rule, it is informative, educational and cultural contents that shall prevail in the dissemination of the media. These contents must promote quality and disseminate the fundamental values and rights enshrined in the Constitution and international human rights instruments. Article 9. Ethical duties. Public, private and community media must issue for themselves ethical codes aimed at improving their internal management practices and their work in communication. These codes must be considered standards as enshrined in Article 10 of the present Law. Ethical codes cannot supersede the law. TITLE II Principles and rights CHAPTER I

Principles

Article 10. Ethical standards. All natural persons or legal entities participating in the communication process must consider the following minimum standards, according to the specific characteristics pertaining to the media used to disseminate information and opinions: 1. Referring to human dignity: a. Respecting the honor and reputation of persons; b. Refraining from building and disseminating discriminatory contents and comments; and c. Respecting personal and family privacy. 2. Referring to priority groups: a. Not encouraging children and adolescents to imitate behaviour that is damaging or hazardous for their health; b. Refraining from using or disseminating images or mentions of identity that undermine the dignity or rights of persons with severe pathologies or disabilities; c. Avoiding the positive or supportive representation of scenes where the physical or mental disabilities of persons are made fun of; www.asambleanacional.gob.ec

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d. Refraining from issuing identity images or mentions of children and adolescents as authors, witnesses or victims of illicit acts, unless, for the higher interest of the child, it is so provided by the authority having jurisdiction; e. Protecting the right to the image and privacy of adolescents who are law offenders, in keeping with the provisions of the Code for Children and Adolescents; and f. Refraining from issuing contents that undermine the dignity of elderly persons or project a negative image of ageing. 3. Concerning exercise of the profession: a. Respecting constitutional budgets for checking, timeliness, contextualizing, and contrasting dissemination of information important to the public or of general interests; b. Refraining from intentionally omitting or distorting elements of information or opinion that are disseminated; c. Refraining from obtaining information or images illicitly; d. Avoiding the morbid treatment of information on crimes, accidents, disasters or other similar events; e. Defending and exercising the right to the clause of conscience; f. Preventing censorship of any kind, regardless of who wishes to do so; g. Not accepting external pressures in the performance of a journalist’s activities; h. Exercising and respecting the rights to confidentiality of one’s source and professional secrecy; i. Refraining from using the status of journalist or media communicator to obtain personal benefits; j. Not using, for one’s own benefit, confidential information obtained confidentially in the exercise of one’s duty to inform; and k. Respecting copyrights and accepted standards for using quotes. 4. Referring to media practices: a. Respecting freedom of expression, commenting and criticism; b. Correcting, as quickly as possible, information that has proven to be false or mistaken; c. Respecting the right to the presumption of innocence; d. Refraining from disseminating infomercials as if they were informative material; e. Ensuring that headlines are coherent and consistent with the contents of the news; f. Unmistakably differentiating news from opinions; g. Clearly differentiating between informative material, editorial material and commercial or advertising material; h. Avoiding disseminating positively or assertively irresponsibility behaviour with respect to the environment; i. Taking up responsibility for the information and opinions that are broadcasting; and j. Refraining from the practice of systematic lynching by the media, by which one means the dissemination of concerted and repeated information whether directly or by third parties, through the media, that is aimed at discrediting a natural person or legal entity or at undermining his/her credibility with the public. www.asambleanacional.gob.ec

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The failure to observe the ethical rules set forth in the present article may be reported by any citizen or organization to the Superintendency of Information and Communication, which, after checking the accuracy of the complaint, shall issue a written admonishment, as long as it does not constitute an infringement that merits any other penalty or administrative measures as provided for by the present Law. Article 11. Principle of affirmative action. The authorities having jurisdiction shall adopt public policy measures aimed at improving the conditions for access to and exercise of the rights to communication of human groups that they deem are rightfully living situations of true inequality; respect for all citizens, men and women, as a whole. These measures shall last the time that is needed to tackle this inequality and its scope shall be defined for each concrete case. Article 12. Principle of democratizing communication and information. The actions and decisions of civil servants and government officials having jurisdiction in the field of rights to communication shall permanently and progressively promote the creation of the material, legal and political conditions to achieve and spread democratization of the ownership of and access to the media, to create media, to generate forums of participation, to ensure access to radio spectrum frequencies allocated to open and subscription radio and television services, technologies and flows of information. Article 13. Principle of participation. Civil servants and government officials, as well as public, private and community media, shall facilitate the participation of citizens in communication processes.

Prior censorship by any government official, civil servant, shareholder, partner, announcer or any other person who, in the exercise of his/her duties reviews, approves or disapproves contents prior to their dissemination via any type of media, in order to illegitimately obtain benefit for themselves, for a third party and/ or to do harm to a third party.

Article 14. Principle of interculturalism and plurinationalism. The State, through government institutions, authorities, and civil servants having jurisdiction in the field of rights to communication shall promote public policymaking measures to guarantee intercultural ties between communes, communities, peoples and nations so that it they shall produce and disseminate contents reflecting their world vision, culture, traditions, knowledge and know-how in their own language for the purpose of establishing and progressively spreading an intercultural communication that values and respects the diversity characterizing the Ecuadorian State. Article 15. Principle of the higher interest of children and adolescents. The media shall promote, as a priority, the exercise of the rights of children and adolescents to communication, on the basis of the principle of the higher interest enshrined in the Constitution and the Code for Children and Adolescents. Article 16. Principle of transparency. The media shall disseminate their editorial and news policies and their ethical code on their websites or an instrument that is available to the public.

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CHAPTER II Rights to communication SECTION I

Freedom rights Article 17. Right to freedom of expression and opinion. All persons have the right to express themselves and their opinions freely in any way and by any means and shall be responsible for their expressions in accordance with the laws. Article 18. Prohibition of prior censorship. Prior censorship by any government official, civil servant, shareholder, partner, announcer or any other person who, in the exercise of his/her duties reviews, approves or disapproves contents prior to their dissemination via any type of media, in order to illegitimately obtain benefit for themselves, for a third party and/or to do harm to a third party. The media have the duty to provide coverage for and disseminate facts of public interest. The deliberate and recurrent omission of the dissemination of matters of public interest constitutes an act of prior censorship. Those who previously censor or carry out acts conducive to doing this indirectly shall be administratively sanctioned by the Superintendency of Information and Communication with a fine of 10 consolidated minimum wages, without detriment to the fact that the author of these acts of censorship may he held legally liable for the perpetration of crimes and/or for damage caused for the comprehensive redress. Article 19. Further liability. For the purposes of the present law, further liability is the obligation that all persons have to shoulder the subsequent administrative consequences of disseminating contents that undermine the rights enshrined in the Constitution and in particular the rights of communication and public security of the State, through the media, without detriment to the civil, criminal or any other kind of complaints that might be filed. Article 20. Further liability of the media. There shall be further liability of the media in the administrative, civil and criminal spheres when the contents that are disseminated shall be expressly taken up by the media or are not attributed explicitly to another person. The comments made at the foot of electronic publications at the web pages of the legally established media shall be the personal responsibility of those making them, unless the media omit to carry out one of the following action: 1. Clearly inform users about their personal responsibility with respect to remarks made; 2. Create mechanism to register personal data to permit their identification, such as name, e-mail, citizenship identity card; www.asambleanacional.gob.ec

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Information or contents considered entertainment disseminated by the media acquire the status of information important to the public when, in these contents, the right of persons to honor or other rights enshrined in the Constitution is breached

BASIC LAW ON COMMUNICATION

3. Design and implement mechanisms for self-regulation that prevent publication and eliminate contents that undermine the rights enshrined in the Constitution and the law. The media can only reproduced messages of social networks when the creator of said messages is duly identified; if the media do not meet this obligation, they will have the same responsibility as the one for the contents published on its website that are not explicitly attributed to another person. Article 21. Joint and several liability of the media. The media shall be jointly and severally responsible for any civil indemnifications and compensations there might be for not meeting their obligation to make corrections or prevent those affected from exercising their right to reply and response ordered by the Superintendency of Information and Communication, after due process of aw, and that have been created by the dissemination of al kinds of contents undermining human rights, reputation, honor, the good name of persons and the public security of the State, in accordance with what is set forth by the Constitution and the law. Article 22. Right to receive true information of importance to the public. All persons have the right to have information of importance to the public that they receive through the media to be reviewed, cross-checked, accurate and put into context. Reviewing involves examining whether the incidents that are disseminated actually did happen. Cross-checking gathering and publishing, in a balanced fashion, the versions of the persons involved in the facts that are narrated, unless any of them has refused to provide his or her version, which shall be expressly indicated in the newspaper article.

All persons are entitled to have the media correct information that has been broadcast about them, their next of kin or matters for which they are responsibility when there are flaws in the reviewing, cross-checking, and accuracy of the information relevant to the public in accordance with the provisions set forth in Article 22 of this Law.

Accuracy involves gathering and publish with accuracy the quantitative and qualitative data that are part of the journalistic telling of the facts. Qualitative data means the names, kinship, position, office, activity or another other that establishes a link between the persons and narrated facts. If it is not possible to check quantitative and qualitative data, the former shall be presented as estimates and the latter as assumptions. Putting in a context means apprising the audience of the background to the facts and persons that are part of the journalistic narrative. If the persons who are quoted as sources of information or opinion have a specific interest or electoral, political, economic or kinship relationship with the persons or facts that are part of the journalistic narrative, this must be mentioned as identifying data of the source. Article 23. Right to correction. All persons are entitled to have the media correct information that has been broadcast about them, their next of kin or matters for which they are responsibility when there are flaws in the reviewing, cross-checking, and accuracy of the information relevant to the www.asambleanacional.gob.ec

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public in accordance with the provisions set forth in Article 22 of this Law. The media have the legal obligation to publish within 72 hours, as of the submittal of the complaint by the affected persons, free of charge, with the same characteristics, dimensions and the same space, section or time, any corrections that there might be. If the media does not facilitate, at its own initiative, the right to correction, the Superintendency of Information and Communication shall be entitled to take, after deciding that the complaint is relevant, the following administrative measures: 1. Correction and public apologies from the director of the medium presented in writing to those directly affect, with a copy forwarded to the Council for Regulating and Developing Information and Communication, which shall be published on its website and on the head interface of the web page of the medium of communication for a time on no less than seven consecutive days; 2. Reading or transcript of the correction and public apology in the same slot, programs, sections or medium where the unproven, false or in accurate information was broadcast; 3. Only in the case of recurrence taking place within one year shall a fine equivalent to 10% of the average billing over the past three months submitted in its Internal Revenue Service tax statement shall be given, without detriment to complying with the provisions in subparagraphs 1 and 2 of the present article; and 4. In the event of new recurrences, the fine shall be twice the amount charged on each previous occasion, without detriment to complying with the provisions set forth in subparagraphs 1 and 2 of the present article. In the case of public or community media that do not have any billing, the fine shall be 10% of one-twelfth of their yearly budget. Compliance with these administrative measures does not exclude any legal proceedings that might be relevant for the broadcasting of unproven, false or inaccurate information. Article 24. Right to reply. Every person or human collective who has been directly referred to in a medium in such a way as to undermine their rights to dignity, honor or reputation has the right to have that same medium broadcast their reply, free of charge, in the same space, page, and section of written media or on the same program in audiovisual media and within no more than 72 hours as of the requested made by the person or collective entity referred to. In the event that the medium of communication does not facilitate, at its own initiative, the right to reply, the Superintendnecy of Information and Communication will be entitled to take, after deciding upon the relevance of www.asambleanacional.gob.ec

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The authorities having jurisdiction shall adopt public policy measures aimed at improving the conditions for access to and exercise of the rights to communication of human groups that they deem are rightfully living situations of true inequality; respect for all citizens, men and women, as a whole.

BASIC LAW ON COMMUNICATION

the complaint, the same administrative measures set for the violation of the right to correction. Article 25. Stance of the media concerning legal proceedings. The media shall refrain from adopting an institutional stance on the innocence or guilt of persons who are involved in a legal investigation or criminal legal proceedings until the judgment by a judge having jurisdiction is carried out. Breach of this prohibition shall be punished by the Superintendency of Information and Communication by a fine equivalent to 2% of the average billing over the past three months of the medium, submitted in its Internal Revenue Service tax statement. In the case of recurrence taking place in one single year, the fine shall be twice of what was charged on the previous occasion.

The media shall be jointly and severally responsible for any civil indemnifications and compensations there might be for not meeting their obligation to make corrections or prevent those affected from exercising their right to reply and response ordered by the Superintendency of Information and Communication, after due process of aw, and that have been created by the dissemination of al kinds of contents undermining human rights, reputation, honor, the good name of persons and the public security of the State, in accordance with what is set forth by the Constitution and the law.

Article 26. Media lynching. The broadcasting of information that directly or via third parties takes place in a coordinated fashion and published repeatedly through one or more media for the purpose of discrediting a natural person or legal entity or undermining her/his public credibility. The Superintendency of Information and Communication will be able to take, after deciding the relevance of the complaint, the following administrative measures: 1. The public apology made by the person or persons who produced and broadcasting this information. 2. Publishing the apology as set forth in the preceding subparagraph in the medium or media, on different days, in the same space, programs, sections, as many times as the information undermining the reputation or credibility of the affected persons was published. These administrative measures shall be taken without detriment to the possibility of having the perpetrators of the infringement to be held liable for committing offenses and/or damages caused and its integral redress. Article 27. Equity in advertising legal proceedings. In all cases in which the media tackle incidents subject to investigation or legal proceedings are required to publish, on the same footing, the versions and arguments of all parties involved. This obligation entails, for printed media, to provide all involved parties the same space, page, and section to expose their arguments and, in the case of audiovisual media, to require the presence of the parties or their representatives simultaneously or consecutively on the same program and for the same slot of time to expose their arguments. If any of the parties refuses to use the space provided by the media, it is understood that the mediumâ&#x20AC;&#x2122;s obligation is duly fulfilled when it has extended the corresponding invitation, which shall be expressed pointed out in the newspaper article or in the corresponding program. www.asambleanacional.gob.ec

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Without detriment to refusal by the parties, any of them will be able to use their right to equitable treatment at any subsequent time, within one year as of their initial refusal, on the basis of the same terms set forth by the present Law in the case of the right of reply. In case the medium does not facilitate, at its own initiative, the right of parties to equitable treatment, the Superintendency of Information and Communication shall take, after deciding upon the relevance of the complaint, the same administrative measures set forth for violation of the right to correction. Article 28. Copies of the programs or printed matter. Any persons who feels affected by information from a medium is entitled to request, upon indicating substantive reasons, copies of the programs or publications. The media have the obligation to favourably respond, within three days at the latest, the requests for delivery of the copies of programs or publications that are submitted in writing. Failure to fulfil this obligation shall be punished administratively by the Superintendence of Information and Communication with a fine of one to four consolidated minimum wages for workers in general imposed on any medium that does not respond to this request on time, without detriment to having it issue the requested copy immediately. Article 29. Freedom of information. All persons are entitled to receive, look for, produce and disseminate information by any medium or channel and to freely select the media or channels whereby they have access to information and contents of any kind. This freedom can only be restricted, on the basis of substantive reasons, by the prior and explicit establishment of the causes envisaged in the law, the Constitution or an international human rights instrument and only to the extent that this is indispensable for the exercise of other basic rights or upholding established law and order. Any behaviour that constitutes an illegal restriction of the freedom of information shall be administratively punished the same way that the present Law does for cases of prior censorship by public authorities and in the media, without detriment to other relevant legal proceedings. Article 30. Information of restricted circulation. The following information may not be freely circulated, especially through the media: 1. Information that is expressly protected by a clause of confidentiality previously provided for by law; 2. Information about personal data and that comes from personal communications, whose dissemination has not bee duly authorized by the holder of the information, by the law or by a judge having jurisdiction;

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Citizens have the right to freely organized themselves at public hearings, watches, assemblies, grassroots lobbying, consultative councils, observatories or other forms of organization in order to exert an impact on the management of the media and to supervise full enforcement of the rights to communication by any medium.

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3. Information produced by the Prosecution Service of the Nation in the framework of a previous investigation; and 4. Information about children and adolescents that breaches their rights as set forth by the Code for Children and Adolescents. The person disseminating information specified in the preceding subparagraphs shall be punished administratively by the Superintendency of Information and Communication with a fine of 10 to 20 consolidated minimum wages, without detriment to being held legally liable for the perpetration of offenses and/or damages caused and for their integral redress. Article 31. Right to protection of personal communications. All persons have the right to the inviolability and secrecy of their personal communications, whether they have been transmitted verbally, through legally authorized telecommunication networks and services or supported on paper or electronic storage devices. It is forbidden to record or take down by any means the personal communications of third parties without their knowledge and authorization of this recording or registration unless there are undercover investigations authorized and ordered by a competent judge and implement by the law. Violation of this right shall be punishable by law. Article 32. Comprehensive protection of children and adolescents. Children and adolescents have the right to express their ideas, thoughts, feelings, and actions from on the basis of their own forms and forums in their native language, without any kind of discrimination or stigmatization. The messages broadcast by the media and other public and private entities shall give priority to the comprehensive protection of children and adolescents, especially against revictimization in cases of sexual, physical, psychological, and domestic violence, accidents and other.

In all cases in which the media tackle incidents subject to investigation or legal proceedings are required to publish, on the same footing, the versions and arguments of all parties involved.

Revictimization, as well as dissemination of contents that undermine the rights of children and adolescents, in line with the provisions of the Code for Children and Adolescents, shall be liable to administrative sanctions by the Superintendency of Information and Communication with a fine of 5 to 10 consolidated basic wages, without detriment to having the perpetrator being held legally liable for offenses and/or damages caused and their integral redress. SECTION II

Rights to equality and interculturalism Article 33. Right to creating social media. All persons, on an equal footing in terms of opportunities and conditions, are entitled to set up means of communication, in line with constitutional and legal constraints provided for financial and business entities or groups, their legal representatives, members of the board of directors and shareholders. www.asambleanacional.gob.ec

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Violation of this right shall be punishable by law. Article 34. Right to access to frequencies. All persons individual and collectively have the right to have access, on an equal footing, to the use of radio spectrum frequencies, allocated for open and subscription radio and television services according to the terms provided for by law. Article 35. Right to universal access to information and communication technologies. All persons have the right to have access to, be trained and use information and communication technologies to enhance enjoyment of their rights and development opportunities. Article 36. Right to intercultural and plurinational communication. The indigenous peoples and nations, Afro-Ecuadorian, and backcountry people from the inland coastal region have the right to produce and disseminate, in their own language, contents that express and reflection their world vision, culture, traditions, knowledge and wisdom. All the media have the duty to broadcast contents that express and reflect the world vision, culture, traditions, knowledge and wisdom of the indigenous peoples and nations, Afro-Ecuadorians and backcountry people for a time accounting for 5% of their daily broadcasting, without detriment to the possibility of having the media, at their own initiative, enlarging this time. The Council of Regulation and Development of Information and Communication shall establish the mechanisms and regulation to fulfil this obligation. The mediaâ&#x20AC;&#x2122;s failure to discharge this duty shall be subject to administrative sanctions by the Superintendency of Information and Communication with the imposition of a fine equivalent to 10% of their average billing over the past three months submitted in their Internal Revenue Service declarations, without detriment to requiring them to fulfil their obligation to disseminate these contents. Article 37. Right to access of persons with disabilities. The right to access and exercise of the rights to communication of persons with disabilities. To do this, the media, public and private media institutions and society shall take progressively, among others, the following measures: translation with subtitling, sign language, and the Braille system. The State shall adopt public policies that permit research to improve priority access to information and communication technologies of persons with disabilities. Article 38. Public participation. Citizens have the right to freely organized themselves at public hearings, watches, assemblies, grassroots lobbying, consultative councils, observatories or other forms of organization in order to exert an impact on the management of the media and to supervise full enforcement of the rights to communication by any medium.

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Any behaviour that constitutes an illegal restriction of the freedom of information shall be administratively punished the same way that the present Law does for cases of prior censorship by public authorities and in the media, without detriment to other relevant legal proceedings.

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SECTION III

Rights of communicators Article 39. Right to a conscience clause. The conscience clause is a right for media persons aimed at guaranteeing their autonomy in the performance of their duties. Media persons will be able to apply their conscience clause to refuse to do the following on the basis of substantive reasons, without incurring any sanction or detriment: 1. Do a job or develop contents, programs and messages that are contrary to the Code of Ethics for media or the ethical principles of communication; 2. Sign or support a text they have authored although it has been changed by a superior in breach of the Code of Ethics for media or the ethic principles of communication. The exercise of the conscience clause cannot be considered under any circumstance as a legal reasons for the dismissal of the media communicator. In all cases, media communicators shall be entitled to make public their disagreement with the medium through the medium itself. Article 40. Right to confidentiality of source. No person disseminating information of general interest can be required to disclose the source of information. This protection does not exonerate the person from further liability.

ll persons are entitled to have the media correct information that has been broadcast about them, their next of kin or matters for which they are responsibility when there are flaws in the reviewing, cross-checking, and accuracy of the information relevant to the public in accordance with the provisions set forth in Article 22 of this Law.

Information on the identity of a source obtained illegally and by force shall be without any legal value; and the risks, damages and prejudice to which this source is exposed shall be imputable to the persons who forced disclosure of her/his identity, requiring them to provide integral redress of any damage caused. Article 41. Right to keep a professional secret. No person performing media activities shall be required to disclose the secret entrusted to them in the framework of the exercise of these activities. Information obtained by the use of force shall be without any legal value; and the risks, damages and prejudice to persons involved shall be imputable to whoever used force for the disclosure of professional secrets, requiring thi person to provide integral redress of any damage caused. Article 42. Free exercise of communication. All persons shall freely exercise the rights to communication enshrined in the Constitution and the present Law through any media. News reporting activities of a permanent character conducted in the media, at all levels or positions, must be performed by professionals of journalism or communication, except for those persons who have editorial columns, and www.asambleanacional.gob.ec

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professionals or experts from other areas that have specialized programs or columns. Persons who conduct journalistic programs or activities in the languages of indigenous nations and peoples are not subject to the obligations set forth in the preceding paragraph. In government institutions, positions inherent to communication shall be discharged by professional communicators or journalists. Article 43. Labor composition of national media. National media shall set up their payroll of employees on the basis of criteria of equity and parity between men and women, interculturalism, opportunities on an equal footing for persons with disabilities and intergenerational participation. Article 44. Labor rights of media employees. Communicators and communication employees have the following rights: 1. To public protection in the case of threats stemming from their activity as communicator; 2. To remunerations in line with salary tables set by the authority having jurisdiction, to social security and other labor rights, according to their duties and competencies; 3. To be provided by their employers with economic, technical and material resources that are sufficient for the adequate exercise of their profession and journalistic activities that are entrusted to them both in the city where they usually work and outside of it; 4. To benefit from the resources, means and stimuli to conduct research in the field of communication needed for the discharge of their duties; 5. To professional development and technical training for which purpose public and private institutions and the media shall provide the facilities that are required; and 6. To the other rights enshrined in the Constitution of the Republic and in the law. TITLE III Media System CHAPTER I

Scope

Article 45. Structure. The Media System shall be comprised of government institutions, policies and the regulatory framework, as well as private, community, and citizen stakeholders that voluntarily become part of the System, in line with the regulations to the present Law. www.asambleanacional.gob.ec

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All persons individual and collectively have the right to have access, on an equal footing, to the use of radio spectrum frequencies, allocated for open and subscription radio and television services according to the terms provided for by law.

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Article 46. Goals. The National Communication System has the following goals: 1. To coordinate the resources and skills of government, community and private stakeholders that comprise the System to achieve the full exercise of the rights to communication enshrined in the Constitution, in the present Law and in the other statutes of Ecuadorâ&#x20AC;&#x2122;s legal framework; 2. To develop and implement mechanisms for public participatory and decentralized planning, social monitoring, and adjustment of all public communication policies; 3. To monitor and evaluate the public policies and national plans drawn up and implemented by authorities with jurisdiction in the exercise of rights to communication envisage in the present Law; and to make recommendations to optimize public investment and achieve the goals and targets set forth in the National Development Plan with respect to the rights to communication; and 4. To permanently produce information on the progress made and difficulties tackles in enforcing the rights to communication, the performance of the media, and the use of information and communication technologies, using as reference parameters mainly the contents of the Constitution, international instruments and the present Law. CHAPTER II

Institutional framework For Regulation and Control

The right to access and exercise of the rights to communication of persons with disabilities. To do this, the media, public and private media institutions and society shall take progressively, among others, the following measures: translation with subtitling, sign language, and the Braille system.

Article 47. Council for the Regulation and Development of Information and Communication. The Council for the Regulation and Development of Information and Communication is a collective body with legal status and operational, administrative, and financial autonomy, whose chair shall exercise the legal, judicial and extra-judicial representation of the entity. Compliance with its resolutions is mandatory. Article 48. Integration. The Council for the Regulation and Development of Information and Communication shall be comprised as follows: 1. One representative from the Executive Branch of Government, who shall chair the Council. 2. One representative from the National Equality Councils. 3. One representative from the Council of Public Participation and Social Control. 4. One representative from Decentralized Autonomous Governments.

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5. One representative from the Office of the Human Rights Ombudsman. Article 49. Duties. The Council for the Regulation and Development of Information and Communication shall have the following duties: 1. Establish the mechanisms for the exercise of the rights of communication and information service users; 2. Regulate universal access to communication and information; 3. Regulate the classification of contents and time slots; 4. Determine mechanisms that make it possible to have a variety of programs, aimed at educational and/or cultural programming; 5. Establish mechanisms to disseminate forms of communication that are specific to various social, ethnic and cultural groups; 6. Draw up and issue the regulations needed to discharge its duties and perform its roles; 7. Draw up studies regarding the behaviour of the community with respect to the content of information and communication media; 8. Draft the binding report, in those cases provided for by the present Law, to award or authorize radio spectrum frequency concessions for the operation of open radio and television stations and for the authorization of the operation of subscription based audio and video systems; 9. Make observations and recommendations on the reports that are submitted every quarter by the telecommunications authority in the process of applying the equitable distribution of frequencies as set forth in Article 106 of the present Law; 10. Draft the report so that the telecommunication authority will proceed to take a decision on terminating a radio or television concession as a result of the failure to meet the goals set in the communication project; 11. Establish administrative and operational entities that are needed for the performance of its duties; and 12. All the others envisaged by law. Article 50. Requirements. The members of the Council for the Regulation and Development of Information and Communication shall meet the following requirements: 1. Be an Ecuadorian national or a foreigner legally residing in Ecuador; 2. Not have any kinship up to the fourth degree of consanguinity and second degree of affinity with those who are or have been partners or www.asambleanacional.gob.ec

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News reporting activities of a permanent character conducted in the media, at all levels or positions, must be performed by professionals of journalism or communication, except for those persons who have editorial columns, and professionals or experts from other areas that have specialized programs or columns.

BASIC LAW ON COMMUNICATION

shareholders in an amount accounting for more than 6% of joint stock capital or with the owners, board of director members or administrators of the media, during the two years prior to the date of their appointment; 3. Not discharge administrative or managerial duties for the media or work as an employee in the media, nor to have done so the two years before the date of their appointment; and 4. To enjoy oneâ&#x20AC;&#x2122;s political rights and right to participation. Article 51. Dismissal. The Council for the Regulation and Development of Information and Communication will be able to dismiss one of its councillors for severe wrongdoing, with only the favourable vote of at least three of its members. The Council for the Regulation and Development of Information and Communication shall hear and decide about the dismissal of councillors for those causes set forth in the present Law, on the basis of a procedure that guarantees compliance with the rules of due process of law. The decision to dismissal can be challenged for restitution in a regular court. Article 52. Causes for dismissal. The causes for dismissal, without detriment to criminal or civil proceedings or sanctions there might be, are as follows: 1. Receiving gifts or accepting the promise of receiving them in exchange for conditioning their decision in the performance of their duties; 2. Conducting political propaganda in the performance of their duties; 3. Being included in one of the causes for incompatibility, which was not noticed at the time of the appointment, according to the provisions of the Basic Law on Communication;

The Media System shall be comprised of government institutions, policies and the regulatory framework, as well as private, community, and citizen stakeholders that voluntarily become part of the System, in line with the regulations to the present Law.

4. Unjustified absence at more than three consecutive meetings of the Council; and 5. In addition, all causes envisaged by the law for civil servants in general. Article 53. Financing. The Council for the Regulation and Development of Information and Communication shall be financed from the General Budget of the State. Article 54. Consultative Council. The Council for the Regulation and Development of Information and Communication shall have a Consultative Council as a non-binding consultative and advisory mechanism, in the processes of drafting information and communication policies. It shall be comprised of: 1. One representative from audiovisual producers; www.asambleanacional.gob.ec

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2. One representative from media communicators; 3. One representative of citizen organizations involved in promoting culture; 4. One representative from university professors teaching at communication schools; and 5. One representative from communication students. The National Electoral Council shall establish the electoral colleges for the election of representatives as set forth in subparagraphs 2 to 6. Article 55. Superintendency of Information and Communication. The Superintendency of Information and Communication is a technical body for surveillance, auditing, intervention and monitoring, with a capacity for imposing sanctions, with a deconcentrated administration, legal status, own assets, and administrative, budgetary, and organization autonomy, which has a wide range of powers to enforce the statutes of the regulatory framework for information and communication. The Superintendency shall have, in its structure, intendencies, units, technical divisions and advisory bodies that are established in the regulatory framework issued for that purpose. The Superintendent shall be appointed by the Council for Public Participation and Social Control from a short list that shall be sent to the President of the Republic in conformity with the provisions of the Constitution. Compliance with the resolutions issued by the Superintendency in the framework of its competency is mandatory. Article 56. Duties of the Superintendency of Information and Communication. The following shall be the duties of the Superintendency of Information and Communication: 1. To audit, supervise, and enforce compliance with the legal and regulatory provisions on the rights to communication; 2. To process, investigate, and decide upon the reports or complaints filed by natural persons or legal entities, through their representatives, with respect to the rights to communication; 3. To request citizens, institutions, and stakeholders involved in communication to provide information about themselves that might be needed for the performance of their duties; 4. To apply the sanctions established in the framework of the present Law and the regulation issued by the regulatory authority; and 5. The others set forth in the law. www.asambleanacional.gob.ec

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The Council for the Regulation and Development of Information and Communication shall have a Consultative Council as a non-binding consultative and advisory mechanism, in the processes of drafting information and communication policies.

BASIC LAW ON COMMUNICATION

Article 57. Administrative procedures. The administrative procedures so that citizens can file claims and requests regarding the exercise of their rights to communication, as well as procedures so that said rights are automatically protected or to require those being administered to fulfil the obligations determined in the present Law, shall be established in the Regulation which shall issued for said purposes by the Council for the Regulation and Development of Information and Communication. In addition to the administrative sanctions or measures provided for by the present Law, for each specific case, the Superintendency of Information and Communication shall be able to make written communications and admonishments to those being administered to draw their attention on practices that must be improved or corrected because they jeopardize or may jeopardize exercising the rights to communication. Article 58. Resolutions of the Superintendency. The resolutions of the Superintendency of Information and Communication are binding and their content must be complied with and enforced within the terms set by the law or in those resolutions. If those administered legally challenge the resolution of the Superintendency, said resolution shall continue to be enforced until a judge having jurisdiction suspends it or definitively overturns it.

The Superintendency of Information and Communication is a technical body for surveillance, auditing, intervention and monitoring, with a capacity for imposing sanctions, with a deconcentrated administration, legal status, own assets, and administrative, budgetary, and organization autonomy, which has a wide range of powers to enforce the statutes of the regulatory framework for information and communication.

Article 59. Expiry and statute of limitation. The steps to file administrative procedures shall expire in 180 days as of the perpetration of the alleged infringement as envisaged in the present Law. The power to punish infringements shall have a three-year statute of limitations as of the start of the proceedings. TITLE IV Regulation of contents Article 60. Identification and classification of the types of contents. For the purposes of the present Law, the contents of sound and television broadcasting, local audio and video system channels by subscription, and printed media are identified and classified as follows: 1. 2. 3. 4. 5. 6.

Informative -I; Opinion -O; Training/educational/cultural -F; Entertainment -E; Sports -D; and Advertising -P.

The media have the obligation to classify all contents of their publication or programming on the basis of legal and technical criteria and parameters. Public, private and community media must identify the type of content they transmit and indicate whether or not they are apt for all audiences, so that the www.asambleanacional.gob.ec

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audience can take an informed decision about the programming they prefer. Radio media that insert advertisement in the narratives of sports or similar shows that are broadcasting live or deferred are exonerated from the obligation of identifying advertising contents. The failure to fulfil the obligation to classify contents shall be subject to administrative sanctions by the Superintendency of Information and Communication with a fine amounting to one to five basic wages for each occasion on which they fail to fulfil this obligation. Article 61. Discriminatory content. For the purposes of the present Law, discriminatory content shall mean any message broadcast by any media that connotes any distinction, exclusion, or restriction based on reasons of ethnic belonging, place of birth, age, gender, gender identity, cultural identity, civil status, language, religion, ideology, political affiliation, police record, socioeconomic condition, migratory conditions, sexual orientation, health condition, HIV carrier, disability or physical difference and others that are aimed at or lead to undermining or refusing recognition, enjoyment or exercise of the human rights enshrined in the Constitution and international human rights instruments or incite discriminatory actions or support discrimination. Article 62. Prohibition. It is forbidden to broadcasting discriminatory contents aimed at or resulting in undermining or cancelling recognition, enjoyment or exercise of the human rights enshrined in the Constitution and in international instruments in any kind of media. The broadcasting of messages through the media that support discrimination against and incitement of the use of violent practices or acts based on any type of discriminatory message is also forbidden. Article 63. Qualifying criteria. For the purposes of the present law, for a content to be qualified as discriminatory, it is necessary for the Council for Regulation and Development of Information and Communication to establish, by a substantiated resolution, that the following elements have been brought together: 1. That the content that is broadcast denotes some concrete type of distinction, exclusion or restriction; 2. That said distinction, exclusion or restriction is based on one or several of the reasons set forth in Article 61 of the present Law; and 3. That said distinction, exclusion or restriction is aimed at or results in undermining or cancelling recognition or enjoyment of the human rights enshrined in the Constitution and international instruments; or that the contents broadcast constitute an advocacy of discrimination or incite the use of violent practices or acts based on some kind of discrimination.

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The resolutions of the Superintendency of Information and Communication are binding and their content must be complied with and enforced within the terms set by the law or in those resolutions. If those administered legally challenge the resolution of the Superintendency, said resolution shall continue to be enforced until a judge having jurisdiction suspends it or definitively overturns it.

BASIC LAW ON COMMUNICATION

Article 64. Administrative measures. Dissemination of discriminatory contents shall merit the following administrative measures: 1. Public apology from the director of the media presented in writing to the person or group affected, with a copy to the Superintendency of Information and Communication, which shall be published on its website and on the first page of the website of the medium for a term of no less than seven consecutive days; 2. Reading or transcript of the public apology on the same space and medium where the discriminatory content was broadcast; 3. In case of recurrence, a fine equivalent to 1 to 10% of the average billing over the past three months as declared in its Internal Revenue Service tax return, considering the severity of the breach and the coverage of the medium, without detriment to complying with the provisions in subparagraphs 1 and 2 of the present article; and 4. In the case of further recurrence, the fine shall be twice what was charge on the preceding occasion, without detriment to complying with what is provided for in subparagraphs 1 and 2 of the present article. The Superintendency shall remit to the Prosecution Service, to investigate an alleged offense, certified copies of the file that acted as the basis to impose the administrative measure on acts of discrimination. Article 65. Classification of audiences and broadcasting time slots. There are three types of audiences, with their corresponding time slots for both radio and television media programming, including local audio and video subscription service system channels, and advertising and messages from the government:

It is forbidden to broadcasting discriminatory contents aimed at or resulting in undermining or cancelling recognition, enjoyment or exercise of the human rights enshrined in the Constitution and in international instruments in any kind of media.

1. Family: This audience includes all members of the family. The time slot for family programming is from 06:00 to 18:00. In this time slot, only programming classified as “A”, that is, Apt for all audiences, may be broadcast; 2. Shared responsibility: It is comprised of persons from 12 to 18 years of age, under the supervision of adults. The time slot labeled shared responsibility shall be from 18:00 to 22:00. In this time slot, programming classified “A” and “B” may be broadcast, in other words, Apt for all audiences under the supervision of an adult; and 3. Adults: Comprising persons over 18 years of age. The time slot for adults shall run from 22:00 to 06:00. In this time slot, only programming classified “A”, “B” and “C”, that is, Apt only for adults. Depending on the provisions of the present law, the Council for Regulation and Development of Information and Communication shall set the technical parameters to define the audiences, time slots, programming classification

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and rating of contents. In every case, the media shall be responsible for the adoption and application of these parameters. Article 66. Violent contents. For the purposes of the present law, violent contents mean the intentional use of physical or psychological force, in actions or verbally against oneself, against any other person, group or community, as well as against living beings and nature. These contents can only be broadcast in the time slots of shared responsibility and adults in accordance with the provisions of law. Failure to comply with the provisions of this article shall be liable to administrative sanctions by the Superintendency of Information and Communication with a fine amounting to one to five basic wages for each occasion that the medium fails to fulfill this obligation. Article 67. Prohibition. Any message that constitutes a direct incitement or express encouragement of the illegitimate use of violence, the perpetration of any illegal action, the trafficking in persons, exploitation, sexual abuse, an advocacy of war and national, racial or religious hate. The sale and distribution of audiovisual or printed pornographic material to children and adolescents under 18 years of age are forbidden. Failure to observe the provisions of the present article shall be subject to administrative sanctions by the Superintendency of Information and Communication with a fine amounting to one to five basic wages for each occasion on which this obligation has not been fulfilled, without detriment to having the perpetrator of this conduct answer legally for the perpetration of offenses and/or damages caused and for their integral redress. Article 68. Sexually explicit content. All sexually explicit messages through audiovisual media that have no educational purpose must necessarily be transmitted in a time slot for adults only. Educational contents with sexually explicit images shall be disseminated in the time slots for shared responsibility and apt for all audiences, bearing in mind that this material must be duly taken within its context for audiences of these two time slots. The failure to comply with the provisions of the present article shall be sanctioned administratively by the Council for the Regulation and Development of Information and Communication with a fine of one to five basic wages for each occasion when this obligation is not fulfilled. Article 69. Suspension of advertising. If deemed necessary and without detriment to implementing the administrative measures and sanctions provided for by the present Law, the Superintendency of Information and Communication may order, on the basis of a substantiated resolution, the immediate suspension of any misleading advertisement.

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The broadcasting of messages through the media that support discrimination against and incitement of the use of violent practices or acts based on any type of discriminatory message is also forbidden.

BASIC LAW ON COMMUNICATION

TITLE V Media Article 70. Types of media. There are three types of media: 1. Public; 2. Private; and 3. Community. Article 71. Common responsibilities. Information is a constitutional right and a public asset; and social communication transmitted by the media is a public service that must be provided responsibly and with quality, observing the rights to communication enshrined in the Constitution, international instruments and contributing to the good way of living of persons. All media have the following common responsibilities in how they carry out their management: 1. Respecting human rights and promoting their full enforcement; 2. Developing the critical skills of citizens and promoting their participation in matters of general interest; 3. Respecting and promoting obedience to the Constitution, its laws, and the legitimate decisions of government authorities;

For the purposes of the present law, violent contents mean the intentional use of physical or psychological force, in actions or verbally against oneself, against any other person, group or community, as well as against living beings and nature. These contents can only be broadcast in the time slots of shared responsibility and adults in accordance with the provisions of law.

4. Promoting opportunities for meeting and dialogue for dispute settlement of collective interest; 5. Contributing to keeping the peace and upholding security; 6. Acting as a channel to report the abuse or illegitimate use of public and private powers by civil servants and individuals; 7. Preventing the broadcasting of misleading, discriminatory, sexist, or racist advertising or any advertising undermining the human rights of person; 8. Promoting intercultural dialogue and the notions of unity and equality in diversity and intercultural relations; 9. Promoting political, economic and cultural integration of citizens, peoples, and human groups; and 10. Fostering edu-communication. Article 72. Access of candidates to elected office to the media. During an electoral campaign, the media shall make it possible for all candidates of all political movements and parties to participate on an equal footing in the debates, interviews, and opinion programs that they organize for the purpose www.asambleanacional.gob.ec

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of disseminating to citizens their political profiles, programs, and platforms to be elected to public office. The National Electoral Council shall make it possible for all media to adopt all measures that are needed for this purpose. Article 73. Audience ombudsman. National broadcast media shall obligatorily have an ombudsman for their audiences and readers, appointed by a public competitive process organized by the Council for Public Participation and Social Control for the medium, who shall discharge their duties independently and autonomously. They will also have interactivity mechanisms with their audiences and readers and spaces for publishing errors and corrections. Article 74. Obligations of audiovisual media. Free-to-air audiovisual media shall be required to provide, free of charge, the following social information services of general interest: 1. Transmitting on a national or local station, in all or various media, messages of general interest as provided by the President of the Republic and/or the entity of the Executive Branch that is entrusted with this role. The holders of the other duties of the State shall coordinate with this entity of the Executive Branch to use this space aimed at broadcasting the national messages set for this channel. These opportunities shall be used in a coordinated fashion only and exclusively to report on matters under their jurisdiction whenever it might be necessary for the public interest. Civil servants specified in the preceding paragraph shall be held liable for any inadequate use of this power; 2. Transmitting on a national or local station, for states of emergency as provided for by the Constitution of the Republic, those messages ordered by the President of the Republic or the authorities appointed for this purpose; and 3. Attributing one hour a day, which cannot be accumulated, for official programs for tele-education, culture, health and human rights drawn up by Ministries or Secretariats having jurisdiction in these areas. Article 75. Obligations of audio and video subscription service systems. Audio and video subscription service systems shall suspend their programming to link up free of charge for a national or local broadcast to transmit messages as provided for by the President of the Republic or the authorities designated for this purpose, in the event of state of emergency as provided for by the Constitution. Article 76. Free-to-air transmission by audio and video subscription service systems. Audio and video subscription service systems are required www.asambleanacional.gob.ec

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Information is a constitutional right and a public asset; and social communication transmitted by the media is a public service that must be provided responsibly and with quality, observing the rights to communication enshrined in the Constitution, international instruments and contributing to the good way of living of persons.

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to transmit on their system national, zone and local free-to-air television channels that have been previously rated by the Council for the Regulation and Development of Information and Communication for this purpose, bearing in mind the quality of their contents and programming, as long as they meet the technical conditions required by telecommunication authorities. The transmission of free-to-air television by audio and video subscription service systems on the national territory shall be exempt from paying rights to retransmit to the television station or the operator of the system nor shall it be charged to the payees or subscribers of these systems. When free-to-air television is transmitted by audio and video subscription service systems, the original programming shall be respected, and advertising that is not authorized by the owner of the programming cannot be altered or included. Article 77. Suspension of the freedom of information. The President of the Republic, by virtue of her/his constitutional powers, may order the suspension of the right to freedom of information, for which purpose the following conditions must be met: 1. Prior declaration of a state of emergency; 2. Verification of the application of the principles, conditions and scope that must be met for the declaration of a state of emergency, in accordance with Article 164 of the Constitution;

During an electoral campaign, the media shall make it possible for all candidates of all political movements and parties to participate on an equal footing in the debates, interviews, and opinion programs that they organize for the purpose of disseminating to citizens their political profiles, programs, and platforms to be elected to public office.

3. Verification of adequate compliance with the procedures set forth in Article 166 of the Constitution for a declaration of a state of emergency; and 4. Substantiation, in writing and on the basis of the parameters of the Rule of Law, of the need and ultimate purpose for order the suspension of the right to the freedom of information and prior censorship of the media, setting forth the scope of these measures and the time-limits they shall last. A declaration of a state of emergency can only suspend the right to information and establish prior censorship of the media and may not in any way restrict the other rights to communication enshrined in the present Law and the Constitution. Civil servants of the State shall be held administratively, civilly, and criminally liable for any breach of the right to communication that has not been expressly authorized as a result of the state of emergency.

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SECTION I

Public media Article 78. Definition. Public media are legal entities subject to public law. They shall be created on the basis of a decree, ordinance or resolution depending on the character of the public entity that is established. Public media may be set up as well as public enterprises in line with the provisions of the Basic Law on Public Enterprises. The structure, composition and attributions of the executive, administrative, social control and participation bodies of public media shall be specified in the legal instrument establishing them. Nevertheless, the structure of public media shall always benefit from an editorial board and a citizen council, except for official government media. Their editorial autonomy shall be guaranteed. Article 79. Public communication enterprises. If two or more public media are brought together for strategic reasons, to optimize costs or to facilitate their management, they shall become a public communication enterprise in line with the provisions set forth in the Basic Law on Public Enterprises. In these cases, each public communication medium must necessarily have an editorial board. Article 80. Goals. Public media shall have the following goals: 1. Producing and disseminating contents that promote recognition of human rights of all priority groups and nature; 2. Providing information services that are relevant to the public, accurate, verifiable, timely and taken in context with regard to the principles of professional independence and pluralism; 3. Facilitating democratic debate and the free expression of opinions; 4. Fostering gender equality and interculturalism; 5. Promoting the exchange of information and mutual knowledge between the peoples of Latin America and the world; 6. Promoting the production and dissemination of national audiovisual contents; 7. Looking for and implementing cooperation mechanism and linkages with national and international government media; 8. Implementing opportunities to promote the countryâ&#x20AC;&#x2122;s production activities; and www.asambleanacional.gob.ec

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Audio and video subscription service systems are required to transmit on their system national, zone and local free-to-air television channels that have been previously rated by the Council for the Regulation and Development of Information and Communication for this purpose, bearing in mind the quality of their contents and programming, as long as they meet the technical conditions required by telecommunication authorities.

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9. Offering educational, cultural, recreational and entertainment contents that contribute to the good way of living. Article 81. Financing. Public media, except for official public media, shall be funded on the basis of resources from the respective institution. Subsidiarily they shall be financed as follows: 1. Income from the sale of ads; 2. Income from the marketing of their communicational products; and 3. Funding from donations, sponsorships, and national and international cooperation. Article 82. Citizen councils. Citizen councils of public media shall obligatorily be set up in line with the standards provided for in the Law on Participation and Social Control. The members of these councils shall not be remunerated. Article 83. Official public media. The branches of government and decentralized autonomous governments are empowered to create official public media, which are mainly aimed at disseminating the official position of the public entity that created them with respect to matters under their jurisdiction and of general interest to the public, fulfilling the responsibilities that are common to all the media as set forth in Article 71 of the present Law.

Public media are legal entities subject to public law. They shall be created on the basis of a decree, ordinance or resolution depending on the character of the public entity that is established. Public media may be set up as well as public enterprises in line with the provisions of the Basic Law on Public Enterprises.

Official media shall be financed exclusively from the budget of the branch of government or decentralized autonomous government creating them and income from the sale of ads to public sector institutions. SECTION II

Private media Article 84. Definition. Private media are natural persons or legal entities governed by private law whether for profit or not for profit, whose purpose is to provide public communication services with social responsibility. SECTION III

Community media Article 85. Definition. Community media are those whose ownership, administration and management pertain to non-profit social collectives or organizations, communes, communities, peoples and nations. Community media are not for profit and their profitability is social. Article 86. Affirmative action. The State shall implement the public policies that are needed for establishing and building up community media as a mechanism to promote pluralism, diversity, interculturalism www.asambleanacional.gob.ec

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and plurinationalism, such as preferential loans for the establishment of community media and the purchase of equipment; tax exemptions for the import of equipment for the operation of printed media, community radio and television stations; access to training for communication, administrative, and technical management of community media. The drafting of these affirmative action measures in public policies are the responsibility of the Council for Regulation and Development of Information and Communication and their implementation shall be entrusted to the public entities that have the specific jurisdictions in each concrete case. The Council for Regulation and Development of Information and Communication shall draft an annual report about the public policymaking measures adopted by the State aimed at establishing or consolidating community media, a report which must obligatorily be published on its web page. Article 87. Financing. The funds for the functioning of community media shall come from the sale of communication services and products, sale of ads, donations, national and international cooperation funds, sponsorships and any other licit form of earning income. Any profits earned by community media from their administration shall be reinvested, as a priority, into improving the medium itself and afterwards in social projects of the communities and organizations to which they belong. Through priority contracting mechanisms for the benefit of the solidarity economy, as provided for in the Law on Public Procurement, state entities at their various levels shall hire in the community media advertising, design and other services that involve the broadcasting of educational and cultural contents. Public entities may be able to raise competitive funds for cultural and educational broadcasting through community media. SECTION IV

Transparency of the media Article 88. Public registry. The media shall obligatorily register in a roster managed by the Council for Regulation and Development of Information and Communication; this roster must have the general data that shall be stipulated in the regulations. This registration does not constitute an authorization for the functioning of the media. The media that do not fulfill the obligation of registering will not be able to be a reference for broadcasting publicity for any State institution. Article 89. Update. The media must notify the Council for Regulation and Development of Information Communication all change in the information that is registered. www.asambleanacional.gob.ec

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Citizen councils of public media shall obligatorily be set up in line with the standards provided for in the Law on Participation and Social Control. The members of these councils shall not be remunerated.

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Article 90. Disseminating print run. Printed media are required, in each publication that they publish, to include a spot where the total print run in circulation is specified, as a means to ensure transparency and access to information. The Superintendency of Information and Communication will be able to audit, at any given time, the print run of the printed media and to check the accuracy of the figures of the published print run, in order to safeguard the rights of the mediumâ&#x20AC;&#x2122;s readers, its competitors, and the companies, entities, and persons that disseminate their ads or publicity in them. If it is proven that the circulation figures for the print run of one or more printed editions is untrue or inaccurate, the Superintendency of Information and Communication shall order that the medium publish, on the first page of its website and in the headlines of its paper editions, for a term of seven consecutive days, acknowledgment that the figures of its print run are not true, in addition to the corresponding public apology addressed to the companies, entities, and persons that broadcasting their ads or publicity in said medium. Whoever feels affected in their assets by the untruth of the figures for the copies of the circulation by a medium shall be entitled to file relevant legal proceedings. Article 91. Support files. All programming and advertising by sound and television broadcasting media must be recorded and kept for up to one hundred eighty days as of the date of the broadcast.

SECTION V

Advertisement Article 92. Stakeholders of advertisement. The business relationship amongst announcers, ad agencies, the media and other stakeholders involved in advertisement shall be governed by regulations issued by the present Law, for the purpose of establishing parameters of equity, respect and social responsibility, as well as to avoid forms of monopolistic or oligopolistic control of the advertising market.

The media shall not be able to advertise products whose regular or recurrent use affects the health of persons, and the Ministry of Public Health shall draw up a list of these products.

Advertising creativity shall be recognized and protected by copyright and other standards provided for in the Law on Intellectual Property. The stakeholders of those managing advertisement in charge of creation, production, and broadcasting of ad products shall receive in all cases relevant intellectual and economic recognition for holding the copyright of said products. Article 93. Length of ads. The length of ads in the media shall be determined in regulations by the Council for Regulation and Development of Information and Communication, on the basis of technical parameters and international

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standards aimed at striking a balance between content and commercial publicity. Article 94. Protection of rights in advertisement and political campaigning. Advertisement and political campaigning shall respect the rights guaranteed by the Constitution and international treaties. Misleading advertisement, as well as all kinds of advertisements or promotion of child pornography, alcoholic beverages, cigarettes and narcotic and psychotropic substances, is forbidden. The media shall not be able to advertise products whose regular or recurrent use affects the health of persons, and the Ministry of Public Health shall draw up a list of these products. Advertisement of products focusing on food and health must have prior authorization from the Ministry of Health. Advertising broadcast during programs for children shall be duly rated by the Council for the Regulation and Development of Information and Communication on the basis of the respective regulation. The Superintendent of Information and Communication shall order the suspension of advertising circulated in the media when the latter breaches the prohibitions set forth in the present article or incites violence, discrimination, racism, addiction, sexism, religious or political intolerance and all that undermines the rights recognized in the Constitution. This measure may be revoked by the Superintendent himself or by the judge having jurisdiction under the conditions stipulated by law. Article 95. Public investment in advertising and political campaigning. Public sector entities that hire advertising and political campaigning services for broadcasting on the media shall be guided on the basis of the criteria of equal opportunities with respect to the focus of the communication, the target audience, the territorial jurisdiction of the entity and the levels of audience and ratings. The media with the least coverage or print runs, as well as those located in rural areas, shall participate in advertisement and public messages by the State. Public sector institutions shall draw up a report every year indicating the breakdown of spending on advertisement hired in each medium. This report shall be published on the website of each institution. The failure to fulfill this obligation by the head of each public institution shall be punished by the Superintendency of Information and Communication with a fine equivalent to 35% of the entire monthly pay of this civil servant, without detriment to publication of this report within thirty days. Failure to fulfill the duty to publish the report within thirty days, as indicated in the preceding, shall be sufficient reason to dismiss the head of the institution.

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The media shall obligatorily register in a roster managed by the Council for Regulation and Development of Information and Communication; this roster must have the general data that shall be stipulated in the regulations.

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Article 96. Investment in private-sector advertising. At least 10% of the yearly budget aimed by the private announcers at advertising their products, services or goods that are sold nationwide in the media shall be invested in local or regional coverage media. The media with a lower coverage or print run, as well as those located in rural sectors, shall be guaranteed participation in advertising. The Council for Regulation and Development of Information and Communication shall establish in the corresponding Regulations the conditions for the equitable distribution of 10% of the announcersâ&#x20AC;&#x2122; budget among the local media. SECTION VI

National production Article 97. Opportunities for national audiovisual production. Audiovisual media, whose signal is national, shall progressively earmark at least 60% of their daily programming during the time slot apt for all audiences for the broadcasting of national production contents. This content of national origin must include at least 10% national independent production, calculated on the basis of the mediumâ&#x20AC;&#x2122;s total daily programming. Dissemination of national production contents that cannot be transmitted during the time slot apt for all audiences shall be attributed to the screen quota that the audiovisual media must comply with. To calculate the percentage aimed at national production and independent national production, the time used for telesales advertising or services shall not be included. The screen quota for national independent production shall be met with works by producers accredited by the authority in charge of fostering moviemaking and national audiovisual production.

Misleading advertisement, as well as all kinds of advertisements or promotion of child pornography, alcoholic beverages, cigarettes and narcotic and psychotropic substances, is forbidden.

Article 98. Production of national advertising. Advertising broadcast on Ecuadorian territory through the media shall be produced by Ecuadorian natural persons or legal entities, whose ownership of the majority of the shareholding package pertains to Ecuadorian or foreign persons legally established in Ecuador and whose payroll for carrying out and producing these works is comprised of at least 80% of persons who are Ecuadorian nationals or foreigners legally residing in the country. In this payroll percentage shall be included contracts for professional services. The import of advertising pieces produced outside the country by foreign companies is forbidden. For the purposes of the present law, by advertisement production is meant television and movie commercials, radio spots, photos for stationary advertisement or any other audiovisual piece used for advertising purposes. www.asambleanacional.gob.ec

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Advertisements not complying with these provisions cannot be broadcast and the natural persons or legal entity ordering their broadcasting shall be punished by a fine equivalent to 50% of the amount that would have been raised by the broadcasting of said advertisement. In the case of stationary advertisement, the company broadcasting the advertisement shall be fined. The publicity of international campaigns aimed at promoting respect for and the exercise of human rights, peace, solidarity, and integral human development shall be exempt from complying with the provisions of the present article. Article 99. Concentration of opportunities for national production. One single producer cannot account for more than 25% of the hourly quota or the purchase quote of the same television channel. Article 100. National production. An audiovisual work shall be deemed national when at least 80% of the persons participating in its production are Ecuadorian nationals or foreigners legally residing in Ecuador. Article 101. National independent producers. An independent national producer is a natural person or legal entity that has no labor ties, kinship connection up to the fourth degree of consanguinity and second degree of affinity, or any dominant corporate or business ties with the audiovisual media to which the rights to broadcast the work has been given. A dominant corporate or business tie is understood to mean the following: 1. The independent national producer and the audiovisual medium belong to the same financial group; 2. One single person holds more than 6% of the joint stock capital of the audiovisual medium and the production company. There shall be a tie between the independent national producer and the owners, legal representatives, shareholders or majority partners of the audiovisual medium when there is a kinship of up to the fourth degree of consanguinity or the second degree of affinity. Production companies with foreign capital or that depend on a foreign company for its management bodies, joint stock capital or business strategy shall not be deemed to be independent national producers. Article 102. Fostering national production and independent national product. Free-to-air television media and audio and video subscription service systems that have within their programming grid one or more channels whose signal is broadcast from Ecuador’s territory, shall purchase every year the rights for and screen at least two feature-length independent national productions. When the resident population or the number of subscribers in the medium’s coverage area is greater than 500,000 inhabitants, the two feature-length movies shall be shown as TV premières and their broadcasting rights must be purchased before the films start being shot. www.asambleanacional.gob.ec

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Audiovisual media, whose signal is national, shall progressively earmark at least 60% of their daily programming during the time slot apt for all audiences for the broadcasting of national production contents. This content of national origin must include at least 10% national independent production, calculated on the basis of the medium’s total daily programming.

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For the acquisition of the rights for television broadcasting of independent national production, the free-to-air television media and audio and video subscription service systems shall earmark an amount of no less than 2% of the amount invoiced and received by the medium or system and that they had declared in the financial year of the previous year. When the resident population in the medium’s coverage area is over 500,000 inhabitants, the amount to be spent by the medium cannot be below 5% of the amount of invoices issued and received by the medium or system. For audio and video subscription service systems, the calculation to determine the amounts aimed at purchasing broadcasting rights shall be made on the basis of income received for selling ad time by the channels whose signal is transmitted from Ecuador’s territory. In the case of public media, this percentage shall be calculated on the basis of their budget. When the volume of national independent production does not reach the quota stipulated by the present article, Ibero-American productions shall fill the gap, taking into consideration the principles of reciprocity with the countries of origin of these productions. For the television channels that are not considered in line with the present Law, independent national production includes the provision of all audiovisual production services. Article 103. Broadcasting musical contents. In the cases of radio broadcasting stations that have music programs, the music produced, composed, or played in Ecuador must account for at least 50% of the musical contents broadcast during all time slots, with payment of copyright royalties as provided for by law. Stations that have a thematic or specialized theme are exempt from fulfilling this obligation of broadcasting 50% national musical content.

For audio and video subscription service systems, the calculation to determine the amounts aimed at purchasing broadcasting rights shall be made on the basis of income received for selling ad time by the channels whose signal is transmitted from Ecuador’s territory.

SECTION VII

Public shows

Article 104. Protection of children and adolescents. The National Council for Children and Adolescents shall issue the regulations on access to public shows that might affect the best interest of children and adolescents, in conformity with Article 13, subparagraph 4 of the Inter-American Convention on Human Rights and the Convention on the Rights of the Child. The regulations referred to in the previous paragraph shall obligatorily be observed by local and national authorities having jurisdiction, in their respective jurisdiction, to authorize the holding of public shows.

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TITLE VI Radio spectrum Article 105. Administration of the radio spectrum. The radio spectrum is an asset in the public domain belonging to the State and it is unalienable, without a statute of limitations and not subject to seizure. The central State shall be in charge of administering the use and technical development of this strategic public resource through the telecommunication authority. In no case shall the administration of the radio spectrum carry out control activities over the contents of the media. Article 106. Equitable distribution of frequencies. The frequencies of the radio spectrum aimed at the functioning of free-to-air radio and television stations shall be distributed equitably into three parts, reserving 33% of these frequencies for the operation of public media, 33% for the operation of private media, and 34% for the operation of community media. This distribution shall be achieved progressively and mainly by means of the following: 1. The allocation of frequencies that are still available; 2. Reverting frequencies illegally obtained and their subsequent redistribution; 3. Reverting frequencies for the failure to meet technical standards or legal norms for their functioning or purposes for which they were given in concession, and their subsequent redistribution; 4. Distribution of frequencies that are returned to the State in line with the provisions of law; and 5. The equitable distribution of frequencies and signals that would make it possible to digitalize radio and television transmission systems. In all these cases, the distribution of frequencies shall give priority to the community sector until the equitable distribution provided for by the present article is achieved. Article 107. Recognition for cumulative investment and experience. Natural persons or legal entities holding concessions for free-to-air radio and television frequencies, whose time-limits have expired, will be able to participate in competitive bidding processes to obtain or renew their own frequency or another different frequency, while observing the distribution set forth by the telecommunication authority for private and community media. These persons shall be given an additional score equivalent to 20% of the total score stipulated in the corresponding competitive bidding process as recognition for the investment and experience in managing a medium that they have accumulated over the years. www.asambleanacional.gob.ec

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Direct awarding of an authorization to use a radio spectrum frequency for the functioning of public media shall be made after the requirements set forth by the telecommunications are met on the basis of the corresponding regulations which, without detriment to other requirements, shall necessarily include submittal of mediumâ&#x20AC;&#x2122;s strategic planning.

BASIC LAW ON COMMUNICATION

Article 108. Modalities to award concessions. Awarding concessions or authorizations for radio spectrum frequencies for the functioning of media is the exclusive power of the telecommunications authority and shall be carried out on the basis of the following modalities: 1. Direct awarding of authorization to use frequencies for public media. 2. Public, open and transparent competitive bidding process to award frequencies to private and community media. Article 109. Direct awarding. Direct awarding of an authorization to use a radio spectrum frequency for the functioning of public media shall be made after the requirements set forth by the telecommunications are met on the basis of the corresponding regulations which, without detriment to other requirements, shall necessarily include submittal of mediumâ&#x20AC;&#x2122;s strategic planning. If two or more institutions from the public sector request authorization to use the same frequency, the awarding shall be decided upon by the binding report issued by the Council for Regulation and Development of Communication, where, after the strategic planning of the respective media is assessed, it shall be decided which shall be granted the concession on the basis of social, territorial and institutional priorities. Article 110. Awarding by competitive bidding for private and community media. Awarding of radio spectrum frequencies for the functioning of private and community free-to-air radio and television media shall be conducted by an open and transparent public competitive bidding process where all natural persons or legal entities that have no legal restrictions or prohibitions to do so can participate.

The National Council for Children and Adolescents shall issue the regulations on access to public shows that might affect the best interest of children and adolescents, in conformity with Article 13, subparagraph 4 of the Inter-American Convention on Human Rights and the Convention on the Rights of the Child.

The requirements, assessment criteria and scoring of the public competitive bidding process shall be defined by regulations provided by the telecommunication authority, bearing in mind the norms set forth in the present Law and the Telecommunication Law, without detriment to having the petitioner submit in all cases the following: 1. The communication project, with indications of the name of the medium, type of medium, goals, place of its facilities, coverage, programming proposal and social impact that the project wishes to exert; 2. The management and sustainability plan; and 3. The technical study. Once the bidding has been carried out, the Council for Regulation and Development of Information and Communication shall be given the files of up to five petitioners with the highest scores. The Council for Regulation and Development of Information and Communication shall once again examine the communication plan of each www.asambleanacional.gob.ec

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one of them and, on the basis of its evaluation, shall issue a binding report for the awarding of the concession, with which the Telecommunication Authority shall proceed to carry out the administrative procedures for the corresponding award. Article 111. Restrictions on participating in the bidding process. Natural persons or legal entities petitioning to participate in public bidding processes for the awarding of radio spectrum frequencies for the functioning of private and community free-to-air radio and television stations shall be forbidden to participate if they are involved in the following circumstances: 1. Those who have kinship ties up to the fourth degree of consanguinity or second degree of affinity with any of the members of the Council for Regulation and Development of Information and Communication and with the telecommunications authority; 2. Those who are associated with or have shares or stock amounting to over 6% of the joint stock capital in a company in which any of the members of the Council for Regulation and Development of Communication or the telecommunication authority are also partners; 3. Those who are personally in arrears or are prevented from contracting with institutions, organizations and entities of the public sector; 4. Those who have shares or stock in a company that is in arrears or that is prevented from hiring with institutions, organizations and entities of the public sector; 5. Those who personally or as shareholders of a company have been holders of a radio or television frequency concession which has been returned to the State for infringements indicated by law; and 6. The others provided for by law. Article 112. Termination of the frequency concession. A concession for radio spectrum frequencies for the functioning of free-to-air radio and television stations shall be terminated for the following reasons: 1. Expiry of the concession term; 2. At the request of the concession holder; 3. Because of extinction of the legal entity; 4. Because of loss of civil empowerment of the concession holder or liquidation of the concession-holding company; 5. Because of proven failure to comply with the provisions that prevent a high concentration of frequencies and media; 6. Because the concession holder has been proven to be involved in some www.asambleanacional.gob.ec

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The present law does not regulate information or opinions that are personally expressed on Internet. The present provision does not exclude criminal or civil proceedings that might be brought as a result of the infringement of other laws via Internet.

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kind of disempowerment or prohibition to participate in competitive radio spectrum frequency awarding processes for the functioning of free-to-air radio and television stations that had not been detected earlier; 7. Because of proven involvement in the provision that forbids the transfer, lease or seizure of the concession by third parties; 8. Because of failure to comply with technical requirements or to pay concession rights; 9. Because of failure to achieve the goals set forth in the communication project; and 10. Because of the other causes set forth in the law. The telecommunication authority, after due process, shall decide upon the concession of radio frequency concessions for the functioning of radio and television stations. In the case of item 9 of the present article, a report from the Council for Regulation and Development of Information and Communication for this purpose must be issued previously.

If any natural person or legal entity, using any legal format, intends to sell, resell, move, transfer or lease the frequency concessions granted to them by the State, said transactions will be considered null and void and shall not grant any right for whoever supposedly wishes to acquire them; on the contrary, it shall be sufficient cause for the immediate revocation of the concessions and the return of the frequencies granted in concession to the administration of the State.

Article 113. Prohibition of concentration. It is forbidden for natural persons or legal entities to concentrate or accumulate frequency or signal concessions for the functioning of central radio and television stations. The telecommunication authority will not be able to award more than one frequency concession for a central radio station in AM, one frequency for a central radio station in FM and a frequency for a central television station to the same natural person or legal entity in the entire national territory. Whoever is a holder of a radio concession, whether in AM or FM, may participate in public bidding processes for the awarding of no more than one shortwave frequency. In one single province, a frequency concession cannot be awarded for the functioning of a central radio or television station to direct relatives of a concession holder that has kinship ties up to the fourth degree of consanguinity or second degree of affinity. Article 114. Concessions for private and community media repeaters. To foster the establishment and permanence of national or regional private and community radio and televisions systems, natural persons or legal entities that have been awarded a concession for the functioning of a central radio or television station may participate in public bidding processes organized by the telecommunication authority and obtain frequencies aimed at functioning exclusively as relay stations for their central head station in other provinces. To favor the development of local media and contents, as long as it is a concession for a radio or television frequency that is being requested by a competitive bidding process, the petitions for the functioning of the central stations shall be given priority and will be given extra score points amounting www.asambleanacional.gob.ec

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to 20% of the total score for the competitive bidding process for petitions for the functioning of relay stations. Article 115. Authorizations for national public media relay stations. The telecommunication authority shall reserve, from the one third share of frequencies allocated to public media, the number of frequencies required so that national public media relay stations can operate. Article 116. Term of concession. The concession for the use of radio and television frequencies shall be for a term of 15 years and shall be renewable once for the same concession holder on the basis of a direct awarding of the concession, but subsequent renewals require submittal of a bid in a competitive process organized by the telecommunication authority. Article 117. Non-transferability of concessions. Frequency concessions that are awarded to any natural person or legal entity for the functioning of media do not become part of their assets and therefore they are forbidden to take any step aimed at having any other natural person or legal entity enjoy or benefit from the use of said frequency concessions. If any natural person or legal entity, using any legal format, intends to sell, resell, move, transfer or lease the frequency concessions granted to them by the State, said transactions will be considered null and void and shall not grant any right for whoever supposedly wishes to acquire them; on the contrary, it shall be sufficient cause for the immediate revocation of the concessions and the return of the frequencies granted in concession to the administration of the State. The owners of the shares of the concession-holding legal entity will not be able to transfer or hand over their shares without prior written authorization from the telecommunication authority. The beneficiary of the concession must also pay a fine to the State amounting to 50% of all it would have obtained or agreed to obtain for the alleged sale, transfer or lease of the frequency concession, without detriment to being held liable for any civil or criminal charges being filed for damages against individuals who apparently would have obtained these rights as a result of these illegal transactions. Article 118. Concessions to the community sector. Because frequency concessions for the functioning of community radio and television stations are granted to nonprofit organizations with legal status, whose governing boards change periodically, it is provided that this change shall not affect the concession right that the organization has acquired when being awarded the concession on the basis of the corresponding public competitive bidding process, nor can it be construed as a transfer of the concession from certain persons to others. Article 119. Programming linkages. To ensure intercultural communication and national integration, the media will be able to set up, without any need for authorization, temporary or permanent networks that freely share the same programming for up to two hours a day. www.asambleanacional.gob.ec

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To foster the establishment and permanence of national or regional private and community radio and televisions systems, natural persons or legal entities that have been awarded a concession for the functioning of a central radio or television station may participate in public bidding processes organized by the telecommunication authority and obtain frequencies aimed at functioning exclusively as relay stations for their central head station in other provinces.

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TRANSITORY PROVISIONS FIRST. Institutions and authorities that must appoint members to the Council for Regulation and Development of Information and Communication shall fulfill this obligation within 30 days at the latest, as of the date of publication of this Law in the Official Register. SECOND. Private contracts involving the use and development of radio spectrum frequencies for free-to-air radio and television, legitimately entered into pursuant to the legal and constitutional statutes prior to the publication of the present Law in the Official Register, shall be complied with until termination of the term of concession contract. THIRD. Persons who appear as concession holders of frequencies for free-to-air sound and television broadcasting service, within 30 days as of publication of the present Law in the Official Register, must submit to the Telecommunications Authority a sworn statement indicating that the natural person or legal entity holding the concession is the one using the concession and/or operating the authorized station for at least the past two years. Failure to comply with this provision shall trigger the process of returning the frequency concession to the Telecommunication Authority. The sworn statements shall be delivered by the Telecommunication Authority to the Council for Regulation and Development of Information and Communication as soon as the latter begins functioning. FOURTH. Registration of the media with the Council for Regulation and Development of Information and Communication must take place within 180 days, at the latest, as of the date of the Councilâ&#x20AC;&#x2122;s establishment.

The messages broadcast by the media and other public and private entities shall give priority to the comprehensive protection of children and adolescents, especially against revictimization in cases of sexual, physical, psychological, and domestic violence, accidents and other.

FIFTH. The Ministry of Finance, within 90 days, at the latest, of the publication of the present Law in the Official Register, shall provide resources from the General Budget of the State so that the Council for Regulation and Development of Information and Communication can function and shall transfer said resources once the members of the Council for Regulation and Development of Communication are sworn into office. SIXTH. The audiovisual media must progressively fulfill the obligations that have been set for national production and independent national production within three years as of the coming into force of the present Law, starting with 20% the first year, 40% the second year, and 60% the third year. The same progressive approach shall be applied for the broadcasting of musical contents as provided for by Article 102, within three years as of the coming into force of the present Law, starting with 20% the first year, 35% the second year and 50% the third. SĂ&#x2030;VENTH. The media of the communes, communities, peoples, nations, and social organizations that adopted the legal status of companies or corporations governed by private law to obtain radio and television www.asambleanacional.gob.ec

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frequencies can become community media within 180 days at the latest, after the corresponding regulations are issued by the Council for Regulation and Development of Information and Communication. The Council for Regulation and Development of Information and Communication has a term of no more than 60 days as of the date of its establishment to issue the corresponding regulations. EIGHTH. Within 180 days, at the latest, as of the date of the publication of the present Law in the Official Register, natural persons who hold concessions for an free-to-air radio or television frequency will be entitled to set up a mercantile company or a legal entity that is not for profit, which shall become the holder of said frequency concession after obtaining authorization from the authority having jurisdiction, within the terms and time-limits provided for in the original concession contract on behalf of the natural person; for these purposes, the telecommunication authority shall draw up the respective regulations. NINTH. The administrative steps and proceedings that CONATEL and the Telecommunication Superintendency are processing and that involve the jurisdiction of the Council for the Regulation and Development of Information and Communication or the Superintendency of Information and Communication, as set forth in the present laws, shall be substantiated and resolved by CONATEL and the Telecommunication Superintendency until said entities are established. Once the entities provided for by the present Law have been established, all administrative steps and procedures that pertain to their jurisdiction shall be forwarded to them. TENTH. In conformity with the report submitted on May 18, 2009 by the Commission for the Auditing of Radio and Television Frequency Concessions, created by a provision of the Constitution, the radio and television frequencies that have not been granted by the authority having jurisdiction, those that have not started operating within the term pointed out in the concession contract; those that have not paid the fees for use of the concession for six consecutive months; those that have been leased for more than two years or transferred to third parties under any modality for use of the frequency; and those that have converted relay stations into central stations and vice-versa shall be given back to the State by the telecommunication authority, applying the due process set forth in the regulations that, for these purposes, is stipulated by the telecommunication authority. ELEVENTH. For the purposes of progressively redistributing free-to-air radio and television frequencies, the radio and television stations whose frequency concession expires within one year as of the date of publication of the Basic Law on Communication in the Official Register shall be extended until the date on which the Council for Regulation and Development of Information and Communication establishes the procedure to opt for a new concession. Said extension shall not be greater than one year as of the publication of the present Law in the Official Register. TWELFTH. Free-to-air radio and television concessions that have been www.asambleanacional.gob.ec

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Advertising broadcast on Ecuadorian territory through the media shall be produced by Ecuadorian natural persons or legal entities, whose ownership of the majority of the shareholding package pertains to Ecuadorian or foreign persons legally established in Ecuador and whose payroll for carrying out and producing these works is comprised of at least 80% of persons who are Ecuadorian nationals or foreigners legally residing in the country. In this payroll percentage shall be included contracts for professional services.

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granted to legal entities governed by public law for the functioning of radio and television stations shall continue to function until the time-limits set in the respective concession contract expires. In the future, they shall be subject to the rules established for the creation of public media as set forth in the present Law. THIRTEENTH. The advertising which up to the date on which the present Law is published in the Official Register has been produced or broadcast in the media in Ecuador that does not observe the rules for the production of advertisement provided for by the present Law, may continue to broadcast for up to one year. Once the Basic Law on Communication has been enacted, there is a time-limit of 30 days for producers and the media to comply with the statutes set forth for the production and broadcasting of advertisement in Ecuador. FOURTEENTH. In the case of the death of a natural person holding a concession to a free-to-air radio or television frequency, the spouse or heirs shall continue using the concession rights until the concession expires. If these persons wish to participate in the competitive bidding process to renew the frequency concession they shall first become a legal entity, within 180 days at the latest, and shall receive an extra 20% on their total score as referred to in Article 105 of the present Law. FIFTEENTH. The media shall include in their programming or printed editions contents in languages that promote intercultural ties accounting for at least a 5% share of their programming within one year as of the date of publication of the present Law in the Official Register.

All persons who received frequencies illegally up until the present Law comes into force are free to return them voluntarily to the State within six months at the latest. In these cases, the State shall refrain from calling for redress or the return of any earnings obtained from the concession holders. This exemption however does not restrict the right of third parties to file the legal proceedings they deem advisable.

SIXTEENTH. Those working in media or public institutions have up to six years to fulfill their obligations as provided for in the second paragraph of Article 42 of the present Law. The media and public institutions shall grant scheduling facilities and any other kind of facility that might be required for this purpose. SEVENTEENTH. The concessions granted to religious organizations and that appear as public or private can be transformed into nonprofit community concessions. In these organizations, legal entities that are holders of concessions for more than one central station, as of the date on which the present Law is published in the Official Register and until the concession contracts entered into prior to the coming into force of the present Law expire, may request the Council for Regulation and Development of Information and Communication to allocate the frequencies pertaining to the central station or stations to the entities that have or obtain a legal status and belong to the same religious family as those who were operating them previously, as long as these frequencies are aimed by the religious organization at operating local or provincial media. EIGHTEENTH. For the purposes of enforcing the prohibition set forth in the final paragraph of Article 6 of the present Law, national media belonging to foreign organizations or companies, those that have foreign shareholders or www.asambleanacional.gob.ec

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partners, and those foreign legal entities that have established their residence in Ecuador to manage national media, shall be subject to the following procedures, depending on their situation: 1. The shareholders, partners or foreign owners of national media, whether natural persons or legal entities, that do not reside legally in Ecuador must transfer all of their stock, shares or the equivalent to natural persons or legal entities legally domiciled in Ecuador. 2. Foreign companies that are only domiciled in Ecuador and whose activity is the management of a national medium, must transfer the assets of the medium to Ecuadorian natural persons or legal entities or foreign natural persons who legally reside in the country, with the corresponding authorization for the telecommunication authority when involving audiovisual media that are holders of concessions for one or more radio or television frequencies. The time-limits to comply with this norm is two years as of the date of publication of the present law in the Official Register. In the case the present transitory provision is not complied with, the authority having jurisdiction shall apply the following measures, depending on the case: Ecuadorian companies shall find grounds for dissolution with full rights and shall following the procedure set forth in Article 367 and following of the Law of Companies. The Ecuadorian State shall proceed to annul the operation permit granted to the foreign company following the procedure envisaged in Articles 406 to 410 of the Law of Companies. NINETEENTH. The companies that are in charge of managing media where the State, via the institutions defined in Article 225 of the Constitution of the Republic, is a majority shareholder, shall adopt within a term of no more than 180 days as of the date of the publication of the present Law in the Official Register, any of the legal mechanisms set forth in the present Law to establish public media or public communication enterprises. Shareholders or minority private partners of companies that are in charge of media must obligatorily transfer their part of the corporate capital for the benefit of the shareholders or state partners that hold the majority shareholding package or participations. If the parties do not voluntarily carry out said sale within the time-limits set in the preceding paragraph, the ownership of the stock or shares involved shall be transferred to a trust fund set up by the Superintendency of Companies and administered by the National Financial Corporation, after a resolution for seizure issued by said monitoring body. In an additional term of up to 120 days, an expert appointed by the Superintendency of Companies shall set the fair price for the stock and shares transferred to the trust fund, which is a price that must be paid to the trust fund by the majority shareholders. Once the above has been done, the www.asambleanacional.gob.ec

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The companies that are in charge of managing media where the State, via the institutions defined in Article 225 of the Constitution of the Republic, is a majority shareholder, shall adopt within a term of no more than 180 days as of the date of the publication of the present Law in the Official Register, any of the legal mechanisms set forth in the present Law to establish public media or public communication enterprises.

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trust fund shall transfer ownership of the stock or shares to the majority state shareholders and shall give to the former minority private shareholders the funds paid at their fair price. Those companies whose shareholding package has been seized by the Ecuadorian State after 2007 and that are being sold are exempt from this provision. TWENTIETH. The number of new radio and television frequencies and signals that are obtained from the switchover from analog to digital technology shall be administered by the State. TWENTY-FIRST. All frequency concessions that have been illegally obtained shall be returned to the administration of the telecommunication authority as soon as the latter has carried out the due process. In all cases when the illegality of a concession has been declared by the court system, the State, through its Attorney-Generalâ&#x20AC;&#x2122;s Office shall obligatorily call for integral redress of the damage caused and return to the State of all financial benefits earned from the use of an illegally obtained concession. Failure to fulfill this obligation shall be cause for the impeachment of the Attorney-General of the State. Third parties affected by the illegal transactions made with frequencies for the functioning of radio and television stations may file proceedings with the courts against those who caused damage to them.

Free-to-air radio and television concessions that have been granted to legal entities governed by public law for the functioning of radio and television stations shall continue to function until the time-limits set in the respective concession contract expires. In the future, they shall be subject to the rules established for the creation of public media as set forth in the present Law.

TWENTY-SECOND. All persons who received frequencies illegally up until the present Law comes into force are free to return them voluntarily to the State within six months at the latest. In these cases, the State shall refrain from calling for redress or the return of any earnings obtained from the concession holders. This exemption however does not restrict the right of third parties to file the legal proceedings they deem advisable. TWENTY-THIRD. Up to the date on which the National Equality Councils are established, the Chair of the National Council for Children and Adolescents shall temporarily act on the Council for Regulation and Development of Information and Communication. Once the National Equality Councils have been set up, their members shall elect their representative to the Council for Regulation and Development of Information and Communication within 30 days at the latest. TWENTY-FOURTH. The powers and duties provided for in the Law on Broadcasting and Television for CONATEL that have not been expressly given by the present Law to the Council for Regulation and Development of Information and Communication or to the Superintendency of Information and Communication shall be taken up and exercised within the time-limits set forth in Executive Decree No. 8 of August 13, 2009, by CONATEL until enactment of a new Law on Telecommunications or a reform of this legal body, whereby legislation is permanently being issued for the Stateâ&#x20AC;&#x2122;s www.asambleanacional.gob.ec

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management of the radio spectrum frequencies aimed at radio, television, and audio and video subscription services. AMENDMENT PROVISIONS FIRST. The term “offenses” is eliminated from Article 4 of the Law on Broadcasting and Television. SECOND. The phrase “their transfer to other concession holders, the leasing of stations and the annulment of concessions” is deleted from subparagraph d) of the fifth unnumbered article, added after Article 5 of the Law on Broadcasting and Television. THIRD. The term “Administer and,” is deleted from subparagraph a) of the sixth unnumbered article added after Article 5 of the Law on Broadcasting and Television. FOURTH. The word “and financial” is added to the end of Article 37 of the Law on Broadcasting and Television. FIFTH. “and administrative” is added to subparagraph d) of the unnumbered article added after Article 5 of the Law on Broadcasting and Television. SIXTH. The first paragraph of Article 3 of the Law on Broadcasting and Television is replaced by the following: “Article 3. In line with the present Law, natural persons holding concessions to radio and television channels or frequencies must be Ecuadorian or foreigners legally residing in Ecuador. Legal entities must be Ecuadorian.” REPEAL PROVISIONS FIRST. The following provisions of the Law on Broadcasting and Television are hereby repealed: Article 5; The first, second, third and fourth unnumbered articles added after Article 5; Subparagraphs f), g), h) and i) of the fifth unnumbered article, added after Article 5; Subparagraphs b) and c) of the sixth unnumbered article, added after Article 5; Articles 6, 7, 8, 9, and 10 and the first unnumbered article, added after Article 10; The last paragraph of Article 14; Articles 15, 16, 17, 18, 19, 20, 21, 22, and 24; The second paragraph of Article 27; Articles 35, 39, 40, 41, 43, 43-A, 44, 46, 47, 48, 49, 50, 51, 52, 53, 54, and 55; The three last paragraphs of the unnumbered article added after Article 55; www.asambleanacional.gob.ec

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Persons who appear as concession holders of frequencies for free-to-air sound and television broadcasting service, within 30 days as of publication of the present Law in the Official Register, must submit to the Telecommunications Authority a sworn statement indicating that the natural person or legal entity holding the concession is the one using the concession and/or operating the authorized station for at least the past two years.

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Articles 56, 57, 58, 59, 60, 61, 62, 63, 64, 65 and 66; Subparagraphs a), b), c), f), g), h) and j) and the second-to-last and last paragraphs of Article 67; and Articles 68 and 69. SECOND. The Sixth Transitory Provision of the Law on Intellectual Property, Articles 16 and 31 of the Law for the Professional Defense of Artists, and all those provisions of identical or lesser importance that establish pre-allocations for the benefit of the General Association for Authors and Composers (Sociedad General de Autores y Compositores—SAYCE) and the National Federation of Professional Artists of Ecuador (Federación Nacional de Artistas Profesionales del Ecuador—FENARPE) are hereby repealed. FINAL PROVISION The present law shall come into force as of its publication in the Official Register. Executed and signed at the headquarters of the National Assembly located in the Metropolitan District of Quito, province of Pichincha, on the fourteenth day of the month of June, two thousand thirteen. GABRIELA RIVADENEIRA BURBANO President LIBIA RIVAS O Secretary General.

Those working in media or public institutions have up to six years to fulfill their obligations as provided for in the second paragraph of Article 42 of the present Law. The media and public institutions shall grant scheduling facilities and any other kind of facility that might be required for this purpose.

www.asambleanacional.gob.ec

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