Reliance Agency v. Chemists and Druggists Association of Baroda & Others
Case brief
What is this about?
The Competition Commission found OP-1 and OP-6 (chemist associations) violated Section 3 by mandating NOC for stockist appointments and PIS charges for new drug launches. The Commission imposed penalties on the associations and their presidents. Allegations against OP-2 were unsubstantiated.
What did the court decide?
Cease and desist order issued; penalties of Rs. 1,08,588 imposed on OP-1 and Rs. 11,11,549 on OP-6; penalties of Rs. 34,048 on OP-3 and Rs. 62,144 on OP-5.
What the court decided
COMPETITION COMMISSION OF INDIA
Case No. 97 of 2013
In Re: Reliance Agency 8, Sakar Complex, Sanstha Vasahat, Raopura, Vadodara – 390001, Gujarat Informant And Chemists and Druggists Association of Baroda (CDAB) C/o Palak Medical Agency, Opposite Madhvani Classes, Shiapura, Raopura, Baroda – 390001, Gujarat Opposite Party No.1 Abbott India Ltd. 3-4, Corporate Park, Sion-Trombay Road, Mumbai – 400071, Maharashtra Opposite Party No.2 V.T. Shah, President of CDAB C/o Bhagyoday Chemist, B/3, Mahavir Park, Near Nalanda Water Tank, Waghodia Road, Vadodara – 390017, Gujarat Opposite Party No.3 Alpesh Z. Patel, Secretary of CDAB C/o Murti Medical and Provision Store, GF–48/49, Arth Complex, Akshar Chowk, Old Padra Road, Vadodara – 390020, Gujarat Opposite Party No.4 Jasvantbhai P. Patel, President, Federation of Gujarat State Chemists and Druggists Association, 5th Floor, Hasubhai Chamber, Near Town Hall, Madalpur, Ahmedabad – 380006, Gujarat Opposite Party No.5 Federation of Gujarat State Chemists and Druggists Association 5th Floor, Hasubhai Chamber, Near Town Hall, Madalpur, Ahmedabad – 380006, Gujarat Opposite Party No.6
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Case No. 97 of 2013
CORAM
Mr. Devender Kumar Sikri Chairperson
Mr. S. L. Bunker Member
Issues for consideration
3 issues framed by the court
Whether Respondents OP-1 and OP-6 mandated NOC prior to stockist appointments, contravening Section 3?
Whether evidence substantiated allegations against OP-2 regarding denial of supplies to Informant?
Whether Respondents OP-1 and OP-5 blocked entry of new drugs by mandating PIS charges payment?
Parties & counsel
- petitioner
Reliance Agency
- respondent
Chemists and Druggists Association of Baroda (CDAB)
- respondent
Abbott India Ltd.
- respondent
V.T. Shah
- respondent
Alpesh Z. Patel
- respondent
Case details
As recorded by the court registry
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