Anti-trust watchdog resolves country's first 'abuse of dominance' case

ABS-CBN News

Posted at Oct 02 2019 11:24 AM

MANILA - The Philippine Competition Commission on Wednesday said it has resolved the country's first "abuse of dominance case" involving a sole internet provider deal by a housing developer.

In March, the PCC enforcement unit "charged" 8990 Holdings Inc's Urban Deca Homes Manila Condominium with "abuse of dominance" for imposing a sole internet service provider for its tenants, the anti-trust body said in a statement.

The developer proposed to "correct" their conduct through a motion for settlement negotiated from May to July. It was subjected to public comments, the agency said.

The PCC said it approved terms of settlement proposed by the firms to "break" the exclusive deal between Urban Deca Homes and its in-house internet service provider (ISP) Fiber to Deca Homes in 9 projects nationwide.

A fine of P27.11 million was imposed, the statement said.

“This is a landmark case for the PCC that successfully resolved to stop an anti-competitive practice, restore competition in the affected market, and set as example to deter other businesses from employing similar exclusive dealings,” PCC chairman Arsenio Balisacan said.

“Competition—or lack of it—can be felt at home, at work, and in one’s daily activities. The residents may have chosen Urban Deca as their address, but the condo developer should not limit the choices of residents for other services,” he added.

Abuse of dominance is a violation of Section 15 of the Philippine Competition Act, which prohibits exploitative and exclusionary conduct that substantially lessens competition, the PCC said.