In absence of dominance, the issue of examination of alleged abusive conduct does not arise

Nirmala Agarwal Vs. Greenfield City Projects LLP (Competition Commission of India)

The Commission notes that the Informants have not provided any information/data in support of the alleged dominance of OPs in the relevant market. The Commission, however, on the basis of the information available in the public domain, notes that, other than OPs, a number of real estate developers are operating in the relevant market, , Eden Group, Merlin Group, GM Group, Magnolia Infrastructure Development, Danish Construction, PS Group, West Bengal Housing Board, Jeet Nirman and Realtech Group Kolkata. These developers are competing with each other in the relevant market. The presence of these real estate players with comparable projects in the relevant market indicates that buyers have various options while buying residential apartments and that they are not dependent on OPs alone for the same. Thus, the services offered by these real estate developers pose sufficient competitive constraints upon OPs in the relevant market.

 Based on the above, the Commission concludes that OPs do not enjoy a dominant position in the aforesaid relevant market. Accordingly, in the absence of dominance, the issue of examination of alleged abusive conduct does not arise.

FULL TEXT OF THE ORDER OF COMPETITION COMMISSION OF INDIA

1. The present Information has been filed by Ms. Nirmala Agarwal and Mr. Mohan Lal Agarwal (‘Informants’) under Section 19(1)(a) of the Competition Act, 2002 (the ‘Act’) against Greenfield City Projects LLP (‘OP-1’), Srijan Realty Pvt. Ltd. (‘OP-2’) and Bengal Greenfield Housing Development Company (‘OP-3’), inter alia, alleging contravention of the provisions of Section 4 of the Act.

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