Impact of the DFL case on the real estate sector

By Amitabh Chaturvedi and Kamakshi Hora, Mine & Young
0
1960
LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link

The year 1991 was a watershed. A financial crisis provoked the government to open up the economy for the first time, allowing privatization, private investment in previously closed sectors, liberalization of international trade, and other reforms. The Monopolies and Restrictive Trade Practices Act, 1969, was found to lack provisions to deal with anti-competitive practices in an era of globalization and liberalization and was later replaced by the Competition Act, 2002.

The Competition Act was challenged and amended in 2007 in light of decisions of the Supreme Court. The provisions pertaining to “anti-competitive agreements” and “abuse of dominant position” took effect in May 2009, and those regulating “combinations”, i.e. mergers and acquisitions, took effect in June 2011.

Amitabh Chaturvedi
Amitabh Chaturvedi

Huge penalty imposed

On 12 August 2011, the Competition Commission of India (CCI), the regulator under the act, in Belaire Owners’ Association v DLF Limited and HUDA, imposed a penalty of ₹6.3 billion (US$115 million) on the real estate giant DLF for abuse of dominant position through unfair conditions in its contracts with flat buyers, and directed DLF to “cease and desist” from framing and imposing such unfair conditions and to modify them within three months.

You must be a subscribersubscribersubscribersubscriber to read this content, please subscribesubscribesubscribesubscribe today.

For group subscribers, please click here to access.
Interested in group subscription? Please contact us.

你需要登录去解锁本文内容。欢迎注册账号。如果想阅读月刊所有文章,欢迎成为我们的订阅会员成为我们的订阅会员

已有集团订阅,可点击此处继续浏览。
如对集团订阅感兴趣,请联络我们

Amitabh Chaturvedi is the managing partner of Mine & Young, where Kamakshi Hora is an associate.

Mine_&_Young_logo

C-346, Defence Colony

New Delhi – 110 024

India

Telephone: +91 11 2433 7572, +91 11 2433 7573

Fax: +91 11 2433 7574

Email: info@mineandyoung.com

LinkedIn
Facebook
Twitter
Whatsapp
Telegram
Copy link