Appreciable Adverse Effect on Competition in India
Companies with similar products and services compete against each other in every market to gain maximum profits, market control and obtain maximum consumers.
Competitive markets are better than monopolies because:.
1) They ensure better products at cheaper prices.
2) They ensure a wide range of products in the market. 3.
They give customers a choice.
Conclusion
An agreement entered by way of the joint venture is considered to increase the efficiency in the production, supply, distribution, acquisition, control of goods, and the provision of services generally, as per provision of Section 3(3) of the Competition Act, 2002.
Therefore, the presumption of adverse effect on competition in the market does not a.
Horizontal Agreements Recognised as Cartels Under Section 3
Section 3(3) of the Competition Act defines particular kinds of agreements that are considered per se anti-competitive.
Further, the four kinds of horizontal agreements are recognised as cartels as per Section 3(3)-.
1) Price Fixing Agreements.
2) Output Controls/Limiting Production Agreements.
3) Market Sharing Agreement.
4) Bid Rigging
Introduction
Section 3 of theCompetition Act, 2002 deals with provisions of anti-competitive agreements whereas, section 3(3) of the Competition Act, 2002 deals with the provisions of horizontal agreements.
Horizontal agreements are agreements between parties at the same level of the supply chain, which include agreements between competing manufacturers, distri.
What is an agreement under Section 2(E) of the Competition Act?
The definition of an agreement has been given under Section 2 (e) of the Competition Act.
It explicitly states that an agreement implies any arrangement or understanding between the parties to perform a certain set of promises made to each other.
What is competition law in India?
With the establishment of the Competition Commission of India, efforts were made to expand the horizons of Competition Law in India and were also aimed at achieving new prospects in this area.
The whole Competition Law is basically governed by four sections of the Competition Act, 2002 i.e. from Section 3 to Section 6.
What is the main objective of the Competition Act?
The main objective of the Competition Act is to prevent an “appreciable adverse effect on competition” within the territory of India.
Section 3 of the Competition Act has provisions relating to anti-competitive agreements.
