Supreme Court rules in favour of Uber and Ola, says they are not acting as cartel

Dec16,2020 #OLA #SUPREME COURT #UBER

LI NETWORK

The Supreme Court ruled in favour of Uber and Ola in a case challenging whether the driving company can fix the fare prices without the consent of drivers or riders.

The appellate body, as well as the Competition Commission of India, had ruled in the driving companies’ favour.

Samir Agrawal, an advocate, had challenged the ride-hailing giants. He argued that by deciding the price, there’s no room left for the driver and the rider to come to negotiation to fix the price.

He sought an inquiry under the Competition Act (Section 26 (2)).

Agrawal, in his argument before the CCI, had said that the companies are preventing “drivers from competing on fares akin.”

The Apex Court, however, replied that the companies do not facilitate anti-competitive practices because the drivers act as individuals.

The CCI also said that it did not find any substance in the allegation raised by the informant.

Related Post