Indeed. Condition #6 for the approval of the merger is quite clear. LATAM has to be in one alliance only and cannot be in the same alliance AV/TA are members of or are in the process of joining.

Furthermore, no codeshares on flights to/from Chile (including connecting flights via South American gateways to Europe/North America) with airlines not members of the same alliance LATAM is in without the consent of the TDLC. No codeshares with AV/TA or G3 for South American flights on routes where both LATAM and AV/TA and/or G3 operate services.

At this point LATAM can either
1) bring JJ into oneworld
2) give up the merger
3) join Skyteam (both LA & JJ)

3) is most possibly a no go.

Quite interested in reading the feedback of the Brazilian antitrust authority. Anyhow good news for OW IMO. ^