Patents and Competition Law in India: CCI’s Reductionist Approach in Evaluating Competitive Harm

Posted by Social Science Research Network

Patents and Competition Law in India: CCI’s Reductionist Approach in Evaluating Competitive Harm

Yogesh Pai (National Law University Delhi) & Nitesh Daryanani (Centre for Innovation, Intellectual Property and Competition)

Abstract:      The objective of this paper is to examine the CCI’s reasoning and approach in patent – related cases, in light of (i) the legislative framework governing competition and patent law in India, (ii) the economic theories that govern the intersection between antitrust and patent law, and (iii) the manner in which competition agencies in comparative jurisdictions have dealt with similar agreements and conduct by a patent holder.

Part 1 of this paper deals with an analysis of the distinction between sections 3 and 4 of the Competition Act 2002, in light of the CCI’s tendency to conflate issues pertaining to abuse of dominance and evaluation of anti-competitive agreement involving patents. Part 2 deals with constraints on pricing imposed in several CCI rulings. Part 3 deals with nonprice licensing restrictions as constituting abuse of dominance. Part 4 deals with cases involving a refusal to deal where products are protected by IP rights or proprietary technologies. Part 5 deals with the practice of price discrimination in unified systems markets dominated by intellectual property.

Continue reading…