Market Dominance: The Inadequacy of Section 4 of the Competition Act, 2002

[Gokul Plaha is a 4th year B.A., LL.B. (Hons.) student at the National Law University, Delhi] Introduction Section 4 of the Competition Act, 2002 prohibits the abuse of a “dominant position” in the market but does not penalise “dominance” per se. This means that any firm or enterprise is well within its right to acquire a dominating  position in the market, even by way of indulging in anti-competitive conduct, till the point it becomes “dominant”. The Competition Commission of India (CCI) in In Re: Mr. Mohit Manglani and Flipkart & Ors. held that since none of the concerned parties was “dominant”, it was not necessary to enquire into the allegations of “abuse of dominance” against them. In this backdrop, it is worthy to examine section 2 of the Sherman Act, one of the pillars of antitrust law in the United States (US), which apart from outright “monopolisation”, also penalises an…

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