EVOLUTION OF COMPANY LAW IN INDIA

In India, the time of the 80s and 90s has been a significant one, explicitly because of the presentation of new financial policy and opening up of the Indian market to the world. The New Economic Policy of 1991 which achieved Liberalization, Privatization, and Globalization of the Indian Economy, dynamically enlarged the space for market influences and diminished the job of Government in business and different other monetary areas. It was understood that new competition law was additionally called for on the grounds that the current Monopolies and Restrictive Trade Practices Act, 1969 (MRTP Act) had gotten outdated in specific regards and that now there was a need to move the center from controlling monopolies to advancing competition in the Indian market. An undeniable level panel was designated in 1999 to recommend an advanced competition law in accordance with worldwide improvements to suit the Indian conditions. The panel suggested the enactment of new competition law, called the Competition Act, and the foundation of a competition authority, the Competition Commission of India, alongside revoking the MRTP Act and the ending up of the MRTP Commission. It likewise suggested further changes in Government strategies as the establishment over which the building of new competition policy and the law would be fabricated. The Competition Act was set up in October 2003. The Act expresses that it will be the obligation of the Commission to dispose of practices adversely affecting competition, to advance and support competition, secure the interests of consumers and guarantee the opportunity of trade carried on by different members, in business sectors in India.

OBJECTIVE OF COMPETITION LAW

The Act looks to give the legitimate system and devices to guarantee competition arrangements are met, to forestall hostile to competition practices, and accommodate the penalization of such acts. The Act ensures free and reasonable competition which secures the opportunity of trade.

COMPETITION COMMISSION OF INDIA

The Competition Commission is India’s competition controller and an antitrust guard dog for more modest associations that can’t protect themselves against large corporations. Its aim is to give the system to the foundation of the Competition Commission, to prevent monopolies and to advance competition on the lookout, and to ensure the opportunity of trade for the partaking people and substances on the lookout.

ROLE OF COMPETITION COMMISSION OF INDIA

Role of competition commission is-

• To take out practices adversely affecting competition, advance and support competition, secure the interests of consumers, and guarantee the opportunity of trade in the business sectors of India.
• To offer input on competition issues on a reference got from a legal power set up under any law and to embrace competition backing, make public mindfulness, and bestow preparing on competition issues.
• To make the business sectors work for the advantage and government assistance of consumers.
• To ensure reasonable and solid competition in monetary activities in the country for quicker and comprehensive development and improvement of the economy.
• To implement competition strategies with an expectation to effectuate the most proficient use of monetary assets. It also aimed to develop and sustain viable relations and interactions with sectoral controllers to guarantee smooth arrangement of sectoral administrative laws in tandem with the competition law.
• To effectively complete competition support and spread the data on advantages of competition among all partners to set up and sustain competition culture in the Indian economy.

EMERGING TRENDS OF COMPETITION ACT IN INDIA

The Competition Act 2002 was enacted by the Parliament of India to establish the new competition design in India where the main aim was to ensure free and fair competition which is one of the pillars of an efficient market economy. It aimed to reduce anti-competitive agreements, abuse of dominant position and regulate merger acquisition and amalgamation and other kinds of vertical or horizontal agreements.

Cartel – Different countries have different opinions and different laws regarding the competition. The doctrine which is applicable in different countries is the Effect Doctrine. In India, before coming into the existence of the competition act the MRTP act failed in the country because of its being of the toothless creature. In the year 2002, in the case of Haridas Export v. All India Fruit Glass Association, the Supreme Court applied the effect doctrine and stated that if cartels are selling goods to India and are making a profit then such cartels shall be allowed from foreign countries.

Intellectual Property Rights – These rights are essential for innovation creativity and diffusion of Technology is whereas the competition law is essential to prevent anti-competitive practices. competition law ensures that the monopolistic power associated with IPR (formation of monopoly by license) in different products in the market is not distinguishable to the determinant of competition. the emerging jurisprudence in the field of IPR allows the consumer to exercise the freedom to substitute products with the latest innovations to protect them from the anti-competitive agreement and the competition in the market. This would help the consumers to secure their interests and would protect them from exploitation. The TRIPS agreement was made in order to ensure the protection and enforcement of Intellectual Property Rights aimed at social and economic welfare and balance of rights and obligations of consumers. The Raghavan committee had observed that there is a need to make an optimum balance between the policies of IPR and competition law in order to fulfill the goals of the society.

Advocacy- Competition Advocacy is one of the main pillars of modern competition law which aims at creating, expanding, and strengthening awareness of competition in the markets. Under Section 49(3), CCI is mandated to take suitable measures for the promotion of competition advocacy, creation of awareness, and imparting training about competition issues. Central/State Government may make references to the CCI on competition policy and law issues. CCI is required to give an opinion in 60 days. Enforcement and advocacy are reinforcing activities and complement each other

CONCLUSION

The Competition Act is a major advancement in India’s competition law structure from the MRTP system concentrated on ‘curbing of monopolies’ to advance competition in the market by endorsing practices that have ‘appreciable adverse effect on competition’. The CCI must be mindful and consistent concerning its methodology as far as its operations and advocacy exercise. A consistency in CCI’s methodology will go long way in empowering the business in arranging supportive of competitive business procedures inside the structure of the Competition Act. CCI need to find significant ways to decrease anti-competitive agreement to forestall exploitation of consumers.

REFERENCES

https://www.cci.gov.in/sites/default/files/presentation_document/Competition-law-and-Emerging-Trends-Sukesh.pdf?download=1
http://www.nishithdesai.com/fileadmin/user_upload/pdfs/Research%20Papers/Competition%20Law%20in%20India.pdf
https://uk.practicallaw.thomsonreuters.com/2-532-3777?transitionType=Default&contextData=(sc.Default)&firstPage=true
https://journals.sagepub.com/doi/pdf/10.1177/0256090916647222
https://www.srcc.edu/sites/default/files/B.com%20H_sem%20vi_Consumer%20affairs%20and%20Customer%20Care_Ms.%20Kavita%20Kamboj.pdf
https://cleartax.in/s/competition-act-2002