REGENT EDUCATION AND RESEARCH FOUNDATION(RERF)

INTRODUCTION OF THE STUDENT

NAME:- HIRAK DAS

INSTITUITION NAME :- REGENT EDUCATION AND RESEARCH FOUNDATION (RERF)

REGISTRATION NUMBER :-

ROLL NUMBER :-

SUBJECT NAME :- LEGAL and BUSINESS ENVIRONMENT (LBE)

SUBJECT CODE :- MB104

DEPARTMENT :- MASTER OF BUSINESS ADMINSTRATION(MBA)

YEAR:- FIRST YEAR FIRST SEMESTER

TOPIC NAME :- LEGISLATION FOR ANTI-COMPETATIVE AND UNRESTRICTED TRADE

PRACTICES
 ACKNOWLEDGEMENT

I am Hirak Das would like to express my deepest gratitude to honourable sir Mr. Susovan Samanta professor of
LEGAL and BUSINESS ENVIRONMENT(MB 104). This endeavour has not been possible without his
guidance. His dynamism, vision, sincerity and motivation have deeply inspired me. He has taught me the
methodology to carry out this assignment and to present the works as clearly as possible. I am extremely
grateful for what he has offered me. I would also like to thank him for his friendship, empathy, and great sense
of humor.

I would also like to thank my parents who give me their full support to complete this assignment.

HIRAK DAS
MBA FIRST YEAR

DATE:-24/10/2022

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 INDEX

SERIAL NUMBER TOPIC NAME PAGE NUMBER

1. INTRODUCTION 4

2. BODY OF THE TOPIC 5

3. DETAILS OF THE TOPIC 6

4. CONCLUSION 7

5. REFERENCES 8

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 INTRODUCTION OF THE TOPIC

The Monopolistic and Restrictive trade practices (MRTP) act was passed by the parliament of India in December,
1969 but it came into force from June, 1970. But now it was replaced by the completion commission of India (CCI)
in 2002 and it came into force from September, 2009. The MRTP act is not in action right now.

The Competition Commission of India (CCI), a statutory body set up under the Competition Act, 2002 with the
primary purpose of regulating competition in the market, plays a significant role in protecting the interests of
consumers. The Competition Commission (Commission) is one of three independent statutory bodies established in
terms of the Competition Act, No. 89 of 1998 (the Act) to regulate competition between firms in the market. The
other bodies are the Competition Tribunal (Tribunal) and the Competition Appeal Court (CAC).

In this context we will know about the MRTP act and CCI in details.

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 BODY OF THE TOPIC

The Competition Commission of India (CCI), a statutory body set up under the Competition Act, 2002 with the
primary purpose of regulating competition in the market, plays a significant role in protecting the interests of
consumers. The Competition Commission (Commission) is one of three independent statutory bodies established in
terms of the Competition Act, No. 89 of 1998 (the Act) to regulate competition between firms in the market. The
other bodies are the Competition Tribunal (Tribunal) and the Competition Appeal Court (CAC). Ashok Kumar
Gupta is the current chairperson of the CCI. The objectives of completion commission of India are as follows:-

 To promote and sustain competition in markets.

 To ensure freedom of trade carried on by other participants in India.
 To prevent practices having adverse effect on competition.
 To protect the interests of the consumers.

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 DETAILED DISCUSSION OF THE TOPIC

The MRTP Act, 1969, was enacted to prevent monopolies and restrictive trade practices in the economy. In 1984, it
was amended to add chapter V introducing the concept of unfair trade practices on the basis of high powered Sachar
Committee. Unfair trade practices includes mislabelling and false representation of any renovated, reconditioned or
old goods as new goods, fraudulant advertisement of goods and services and falsely representing that the
goods/services are of a particular standard, quality or grade. An act is unfair when it meets the following criteria: It
causes or is likely to cause substantial injury to consumers. It cannot be reasonably avoided by consumers. It is
not outweighed by countervailing benefits to consumers or to the competition. Accordingly, on 18 December 1969,
Parliament enacted the Monopolies and Restrictive Trade Practices Act with five objectives: prevention of
concentration of economic power to the common detriment, control of monopolies, prohibition of monopolistic
practices, prohibition of restrictive trade practices, and prohibition.Unfair competition is conduct by a market
participant which gains or seeks to gain an advantage over its rivals through misleading, deceptive, dishonest,
fraudulent, coercive or unconscionable conduct in trade or commerce.

The Salient Features of the Act are as under: (i) The Act provides for establishing three-tier consumer dispute
redressal machinery at the national, state and district levels. (ii) It applies to all goods and services. (iii) It covers all
sectors, whether private, public or any person. The Consumer Protection Bill, 1986 seeks to provide for better
protection of the interests of consumers and for the purpose, to make provision for the establishment of Consumer
councils and other authorities for the settlement of consumer disputes and for matter connected therewith. (f) right to
consumer education.

DIFFERENCES BETWEEN MRTP Act and COMPETITION Act

MRTP Act COMPETITION Act

 Unfair trade practices omitted.  Unfair trade practices covered.

 Rule of Law approach.  Rule of Reason approach.

 No power to impose penalty.  Power to impose penalty.

 Government departments outside it’s  Government department within it’s ambit.

ambit.

 Competition concepts not expressly  Competition concepts expressly defined.

defined.

 No advocacy role.  Provision for advocacy.

 No regulations of combinations.  Provision for regulations of combinations.

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 CONCLUSION

The Consumer Protection Act and the Bill are designed so as to prevent any kind of trade that engage in unfair trade
practices whether specified or not and more importantly provides for protection for the consumers who are subject to
this trade. It has long been established that competition, as a dynamic process, is the driving force behind the
development and instigation of economic activities in the marketplace. In particular the establishment and increased
growth of the Internal Market. Promotion of consumer welfare is the common goal of consumer protection and
competition policy. At the root of both consumer protection and competition policy is the recognition of an unequal
relationship between consumers and producers.

Consumers are frequently being subjected to unfair trade practices by the giant sellers and consumers are becoming
a prey to their cut throat business competition. The awareness among consumers in today's modernized world is
giving way to consumers ascertaining the rights provided to them under Consumer Protection Act and seeking
redressal against the unfair trade practice. The prospect of the consumer justice system in our country appears to be
bright in view of the provisions available in the Indian statutes and legislation and various proactive policies,
schemes being adopted by the Government. The illiterate group of consumers should be made aware of their rights
that they can use to safeguard themselves from such unfair practices by the monopolists. The government should
take measures to educate people about the various redressal forms that they can approach on breach of their rights as
a consumer. Involvement of trade and industry, civil society organizations and above all consumer themselves is
vital to keep a check on the practice of unfair trade in the years to come.

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 RFERENCES

1. https://jcil.lsyndicate.com/wp-content/uploads/2018/08/A-STUDY-ON-UNFAIR-TRADE-PRACTICES-
IN-INDIA-8.pdf

2. https://epgp.inflibnet.ac.in/epgpdata/uploads/epgp_content/law/03._competition_law/
08._unfair_and_restrictive_trade_practices/et/5651_et_08et.pdf

3. https://eprints.whiterose.ac.uk/121795/1/JAE%20article%20%20Akman%20Nathani%20Nov
%2016%20Final%20Pre-print.pdf

4. www.google.com