Holding that “the anti-competitive behaviour of any entity needs to be condemned heavily for effective function of the market”, the Competition Commission of India (CCI), India’s antitrust regulator, recently penalized seven film associations.
The associations, which control distribution and exhibition of films in their respective states and regions, were found to have been taking anti-competitive decisions and engaging in anti-competitive practices. They were directed to pay 10% of their annual income to the petitioners.
Ruling in Reliance Big Entertainment Limited & UTV Software Communication Limited v Karnataka Film Chamber of Commerce & Ors, the CCI held that the associations had contravened the provisions of section 3(3)(b) read with section 3(1) of the Competition Act, 2002, and caused appreciable adverse effect on competition in India.
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The update of court judgments is compiled by Bhasin & Co, Advocates, a corporate law firm based in New Delhi. The authors can be contacted at lbhasin@bhasinco.in or lbhasin@gmail.com. Readers should not act on the basis of this information without seeking professional legal advice.