The Indian Company Law Appellate Tribunal clarifies the emerging jurisprudence on hub-and-spoke cartel and standing requirements in a case concerning two ride-hailing platforms in the automobile services market for fixing cab fares through their apps (Uber / Ola)

In a relief to the multinational giant, Uber, and home-grown Ola (collectively, Ride-hailing Platforms), the National Company Law Appellate Tribunal (NCLAT) – India’s appeal tribunal for competition matters – dismissed an appeal filed by Samir Agrawal (Informant). In doing so, the NCLAT has upheld the decision of the Competition Commission of India (CCI) and turned down the hub and spoke conspiracy alleged to be coordinated by the Ride-hailing Platforms with their drivers. Incidentally, as has been noticed in several past CCI cases, the Informant in this case was a practising advocate. As detailed below, this order is significant due to three reasons – (i) the emerging jurisprudence on a hub-and-spoke cartel; (ii) algorithm-based pricing; and (iii) clarification on Informant’s standing

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Authors

  • Khaitan (New Delhi)
  • Khaitan (New Delhi)

Quotation

Rahul Singh, Swati Bala, The Indian Company Law Appellate Tribunal clarifies the emerging jurisprudence on hub-and-spoke cartel and standing requirements in a case concerning two ride-hailing platforms in the automobile services market for fixing cab fares through their apps (Uber / Ola), 29 May 2020, e-Competitions July 2020, Art. N° 95574

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