cs executive COMPETITION ACT 2002 study material notes


Posted on 04-05-2016        By ADMIN

cs executive COMPETITION ACT 2002 study material notes “ Introduction ” The MRTP Act is based on pre-reform scenario, lacks regulation of combinations, provides for compulsory registration of agreements, complex in arrangements and based on size as a factor. The Government of India therefore thought it fit to enact a new law namely, “ The Competition Act ”. A/1 “ Reasons ” - for repeal of MRTP Act In view of the Policy shift from curbing monopolies to promoting competition, a need has been felt to repeal the Monopolies and Restrictive Trade Practices Act. Hence, the present Competition Law, aims at doing away with the rigidly structured MRTP Act. The Competition Law is flexible, behavior - oriented, and also explicitly indicate the parameters which shall be kept in view while deciding the adverse effect on competition, abuse of dominance or prejudicial combinations. A/2 “ Object of the Act ” As per the Preamble, the Act seeks to ensure fair competition in India by prohibition trade practices which cause appreciable adverse effect on competition in markets in India, and for this purpose provide for the establishment of Competition Commission of India ( CCI ) which shall also take up Competition Advocacy - for creating awareness and imparting training on competition issues. The Competition Act, 2002 seeks to achieve its “ objectives ” by : (i) Prohibiting - restrictive trade agreements ; (ii) Preventing - abuse of dominance ; (iii) Regulating - combinations ; and (iv) Formulating a policy - on competition, creating awareness and by imparting training about competition issues. The Act provides for the establishment of Competition Commission of India ( CCI ), - which shall be a body corporate manned by a Chairperson and not less than two and not more than 10 other Members. The Commission will be assisted - by a Director General - for conducting investigations of contravention of any provision of the Act ( except those relating to combinations ) and to cond


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