The law applies to the business activities of municipalities, joint municipal authorities, the Government and entities under their authority. Parishes, for example, are not subject to the law.
A public organisation may either practice business activities (e.g. as an authority or public enterprise) or it may own, for example, a limited liability company (specified in the law as an "entity subject to authority". Under Chapter 4 a of the Competition Act, it is also possible to intervene in the operations of this type of entity, such as in cases where the owner distorts competition with financing obtaining through extraordinary means. It is also possible to intervene in the operations of a limited liability company under the authority of a public organisation in cases where, for example, multiple municipalities or a municipality and the Government use their authority.
A ban, order or obligation, which is used to rectify a situation involving the restraint or distortion of competition, is issued by the FCCA to a municipality, joint municipal authority or the Government, not a business entity, even if this entity has the status of an autonomous legal person. This does not, however, prevent the FCCA from engaging in a dialogue with the actual undertaking in question, if this proves to be appropriate.