distribution /availability etc of drugs which causes appreciable adverse effect on
competition (AAEC) and results in denial of market access for the pharma companies
merely raise a presumption of Appreciable Adverse Effect on
Competition (AAEC) being caused in the market. It does not establish an
outright violation. The parties ... which demonstrates
that their alleged conduct does not in fact cause an AAEC.
48. It was submitted that the DG failed to consider the factors
contention regarding absence
of any appreciable adverse effect on competition (AAEC) in the market,
Shri Deshmukh pointed towards the reduction in Cipla ... condition
precedent for appointment of stockists, there was no AAEC in the relevant
market.
Case No. 54 of 2015 Page
there can be
no presumption of Appreciable Adverse Effect on Competition ('AAEC') against the
issuance of LOIs. Even if such communications amounted ... wrongly interpreted lawful communications as
evidence of collusion without demonstrating AAEC. It was also submitted that the DG
failed to appreciate the regulatory constraints specific
proving any appreciable adverse effect on competition
(hereinafter, "AAEC") in India.
(ii) OP-3 was only a victim inasmuch ... impossible for OP-3 to inflict any supply constraints or cause any AAEC in
the market. In this regard, the Commission notes that in cases
thereby causing an appreciable adverse effect on
competition (hereinafter "AAEC").
Information
2. As submitted by the Informant, the OP is a frontline provider ... competitive process as a whole.
Page 31 of 35
Issue: Is there AAEC arising out of the agreement OP and
Cryobanks?
77. Under AoD analysis
leading to appreciable adverse effect on competition ("AAEC") by harming farmers,
who are unable to make a choice about other products they ... levels of the production chain, which cause or are likely to cause AAEC. The
relevant provision is reproduced as under:
Case
assess if its conduct has caused Appreciable Adverse Effect on
Competition ('AAEC') in the identified relevant market. Further, for the purpose of delineation ... five years prima facie indicate a position of strength to cause AAEC in terms of
Section 3(4) of the Act. Accordingly, the Commission
only proscribe the agreements which cause
Appreciable Adverse Effect On Competition (AAEC), but the same also
forbid the agreements which are likely to cause AAEC ... found to be
established, the same is presumed to have an AAEC within India.
45. In view of this statutory scheme, the plea
drugs to the consumers which causes or may cause an AAEC
on competition. The Commission in its majority order is in the agreement with ... Case No.30/2011 Page 10of 14
amongst these associations has an AAEC and hence in contravention of Section
3(1) of the Act.
Issue