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Court dismisses MultiChoice’s suit against FCCPC

The Federal High Court in Abuja has dismissed a suit filed by MultiChoice Nigeria, owners of DStv and GOtv, challenging the Federal Competition and Consumer Protection Commission’s (FCCPC) intervention in its recent subscription price hike.

Justice James Omotosho ruled that the suit constituted an abuse of court process, as similar proceedings were already pending in Lagos State. He stressed that MultiChoice should have pursued its arguments in that court.

The judge noted that while the FCCPC has investigative powers, it lacks the authority to fix or suspend prices without specific delegation from the President through a gazetted instrument.

Justice Omotosho emphasized that Nigeria operates a free market system, where service providers like MultiChoice can set their prices, and consumers can choose to accept or reject them.

The court ruled that the FCCPC’s actions, including directing MultiChoice to suspend its price increase, breached the company’s right to fair hearing and appeared selectively targeted.

The judge dismissed the FCCPC’s claim that MultiChoice held a dominant market position, calling the argument untenable.

He added that the use of services like those provided by MultiChoice is discretionary and not essential.

Justice Omotosho warned that attempts to fix prices by regulatory bodies could scare off investors and harm the economy.

The court held that while the FCCPC may investigate market practices, it cannot impose price controls without proper legal backing.

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