| Case ID |
f76627e2-b025-43d6-af0d-37d9cf6e03e1 |
| Body |
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| Case Number |
F. No. 31/RP/C&TA/CCP/2015 |
| Decision Date |
Mar 30, 2018 |
| Hearing Date |
Feb 21, 2018 |
| Decision |
The Competition Commission of Pakistan found that Messrs Reliance Paints Pakistan had engaged in price-fixing practices in violation of Section 4 of the Competition Act, 2010. The Commission concluded that the respondent had imposed a minimum resale price on its dealers, which constituted a vertical restraint and was contrary to the provisions of the Act. As a result, the Commission imposed a penalty of PKR 5 million on the respondent, which was to be paid within 60 days. The respondent was also directed to cease its contravention of the law and submit a compliance report within 60 days, ensuring that it no longer enforced the minimum resale price. The Commission emphasized the importance of competition law in maintaining fair market practices and protecting consumer interests. |
| Summary |
In the case concerning Messrs Reliance Paints Pakistan, the Competition Commission of Pakistan addressed allegations of anti-competitive behavior under the Competition Act, 2010. The complainant, Akzo Nobel Pakistan Ltd., accused Reliance Paints of fixing minimum resale prices for its products, thereby restricting competition among dealers. The Commission's enquiry revealed that the respondent had indeed imposed penalties on dealers who did not comply with the fixed prices, which constituted a violation of Section 4 of the Act. The Commission's decision highlighted the critical role of competition law in ensuring a fair marketplace, preventing price-fixing, and fostering healthy competition. The imposed fine of PKR 5 million serves as a deterrent against such practices, reinforcing the need for compliance with competition regulations. The ruling underscores the Commission's commitment to upholding market integrity and protecting consumer rights in Pakistan's competitive landscape. |
| Court |
Competition Commission of Pakistan
|
| Entities Involved |
Reliance Paints Pakistan,
Akzo Nobel Pakistan Ltd.
|
| Judges |
Dr. Shahzad Ansar,
Dr. Muhammad Saleem
|
| Lawyers |
Mussadiq Islam,
Mr. Cornelius,
Lane & Mufti,
Usman Ali,
RSM Deco Sales,
Ms. Sara Shah
|
| Petitioners |
Messrs Akzo Nobel Pakistan Ltd.
|
| Respondents |
Messrs Reliance Paints Pakistan
|
| Citations |
2018 SLD 1576,
2018 CLD 873
|
| Other Citations |
Not available
|
| Laws Involved |
Competition Act, 2010
|
| Sections |
4,
30,
31,
37,
38
|