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Aneesh V.

Pillai Faculty of Law Hidayatullah National Law University Raipur, Chhattisgarh

Objectives of Competition Law:

To promote competition in the market


To prevent those practices which are having

an appreciable adverse effect on competition


in the market

Consumer welfare Perfect Competition in Market

Competition Law can regulate all those practices which are having an AAEC Application of Competition Law is debatable in certain areas.

For example the area of Intellectual Property Rights

IPR Legal Rights, which result from intellectual activity in the industrial, scientific, literary and artistic fields. Gives statutory expression to the moral and economic rights of inventors or creators in their inventions or creations.

As per the Competition Act, 2002, Intellectual Property Rights includes

1) Copyright and Related Rights; 2) Trade Marks; 3) Geographical Indications; 4) Industrial Designs; 5) Patents; and 6) Layoutdesigns of the Integrated Circuits.

IPR promotes inventions and creations


It confers a limited monopoly to the Holder

The legal excise of IPR may have an adverse effect on Competition in the market. For Example:

Patent Pooling Cross Licensing Tie-in Arrangements Restrictive Conditions Refusal to Deal

In Anti-Competitive Agreements: Sec.3(5) of the Act exempts those reasonable agreements for the protection of IP Rights. Reasonability is a matter evaluated by CCI The justification for this exception is that there are sufficient provisions under IP Laws to prevent Anti-Competitive Practices.

a) Compulsory Licensing (Sec.84 of the Patent Act, 1970)


Reasonable Requirements of Public Affordable Price Not worked in the Territory

b) Parallel Imports (Sec.107)

Abusive Behavior (Sec.4 of CA,2002)

No Special Consideration for IPR

Combinations (Sec.5 & 6 of CA,2002)

No Special Consideration for IPR

No conflict

1. Objectives of IPR and CL is same Consumer Welfare CA, 2002 is not against Monopoly
2. Sec. 3(5) exception will not affect adversely

3. If dispute - both CCI and IP Authorities having jurisdictions ( Sec. 60, 61 & 62)

Whether in practice we should allow an IPR holder to exercise his legal right at the cost of competition in the market?
A balancing approach Consumer Welfare is necessary for

Thank You
Aneesh V. Pillai Faculty of Law Hidayatullah National Law University Raipur, Chhattisgarh

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