CCI, by its order dated November 10, 2016, has dismissed allegation of abuse of dominance against HP for defective products and spurious spare parts.
In the Information filed by an individual, Dr. S.K. Mittal, who was essentially aggrieved by the alleged conduct of HP in selling a defective, spurious and sub-standard laptop to him and not providing the desired after-sale repair services for the said defective laptop.
The CCI observed that the dispute in question appears to be a purely consumer issue for which the Informant may approach the appropriate forum. It is observed that the allegations of the Informant relate to sale of a defective laptop and deficiency in the provision of after-sale repair services for the said laptop and there is no competition issue involved in the matter.
Nonetheless, the CCI considered that in the relevant market for “laptops including its spares and after-sale services in India.”, even though OP is a major player besides many other leading players such DP, Lenovo, Apple, Sony, Acer, etc. are operating and exert competitive pressure on HP. HP does not enjoy a position of strength required to operate independently of market forces. Therefore, the Commission is of the view that OP does not hold a dominant position in the above said relevant market. In the absence of dominance of HP, the question of abuse of dominant position by it under Section 4 of the Act does not arise at all. The matter has accordingly been closed under Section 26(2) of the Act.
(Source: Order dated November 10, 2016. For full text see CCI website-www.cci.gov.in)
M M SHARMA
Comdt. (Retd.) M. M. Sharma heads the Competition Law & Policy team in VA since 2009 and has over 30 years’ experience as an Advocate of Delhi High Court and holds a Post Graduate Diploma in Economics of Competition Law from Kings College, London. He has worked in the Competition Commission of India (CCI) as Additional Registrar during 2006-2008 and was responsible for drafting the Implementing Regulations under the Competition Act, 2002. He has experience of working as Head-Legal /In-house Counsel for a large Corporate Group in the Steel and Power sector before joining VA in 2009. He has represented clients as an independent arguing Counsel in landmark cases decided by CCI, the Competition Appellate Tribunal (COMPAT) , High Courts and the Supreme Court. As a prolific writer, he contributes articles and is regularly quoted on competition issues in National Newspapers and interviewed by TV Channels. He also teaches as a visiting faculty in various Universities and Institutions and is widely regarded as a subject expert in various Committees of Apex Business Chambers, such as FICCI, CII, ASSOCHAM and PHD CCI.
Mr. Sharma has been mentioned as a “Notable Practitioner” in the “Competition/Antitrust” category of Chambers & Partners (Asia Pacific) Ranking of Leading Lawyers for Business in India for the year 2012 and 2013. VA’s competition law and policy team has also been awarded the Law Firm of the Year Award for “Competition/Antitrust Law” for 2013 by the Indian Business Law Journal. Included as a ‘Recognised Practitioner’ in Individual Lawyers’ranking by Chamber’s Asia Pacific Guide 2020 for Antitrust/Competition Law.