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NCALT: WhatsApp has not Abused its Dominant Position in India Rules

Debangana Ray

Published on August 10, 2022 at 22:17 IST

The National Company Law Appellate (NCLAT) set aside a petition and upheld an order given by CCI in 2017 that dismissed a complaint of arbitrary pricing against the instant messaging app, WhatsApp.

The NCLAT stated even though whatsapp has a dominant position in India but it has not ‘abused its dominant position’ based on the information provided by the appellant which is an NGO named Fight for Transparency Society.

The Competition Commission of India (CCI) on June 1, 2017 rejected the complaint of the aforementioned NGO alleging predatory pricing by WhatsApp. It had also made many changes in its privacy policy which was an abuse of its dominant position.

The complaint was rejected by the CCI, following which the NGO filed an appeal before NCLAT.

The NCLAT observed that simply updating the terms and conditions does not amount to abuse of dominant position.