Tariff Hike: Tribunal dismisses suit against MultiChoice

Court

 

From Godwin Tsa, Abuja

The Competition and Consumer Protection, CCPC, Tribunal has dismissed a suit challenging the recent price hike by MultiChoice Nigeria Limited, the operator of DStv and Gotv.

In a unanimous decision on Tuesday in Abuja, a three-member panel tribunal led by Mr Thomas Okosun, in its judgement, dismissed the suit which was filed by a legal practitioner, Mr Festus Onifade, on behalf of himself and the coalition of Nigerian consumers, as lacking in merit.

Before delving into the substantive issue, the tribunal assumed jurisdiction to entertain the case and accordingly the objection raised against its jurisdiction.

It held that the price increase was valid, adding that the Claimants failed to establish that MultiChoice abused its dominant position in the market.

In addition, the panel held that neither the FCCP, the tribunal itself nor any other body has the power to regulate price.

“Only the President has the powers to regulate or fix prices of goods and services under stipulated circumstances which do not apply in this instance”, it held.

The tribunal further held that the Claimants failed to provide any evidence or to establish how they suffered psychological trauma, hardship or how their rights were violated as a result of the price hike.

It held that the litigants were unable to show evidence of hardship suffered by the consumers of MultiChoice’s services and products.

Onifade had instituted the action the company shortly after it announced its plan to increase subscription tariffs on all its products, from April 1.

He equally listed the Federal Competition and Consumer Protection Commission, FCCPC,  as the 2nd respondent.

The Abuja- based legal practitioner had in his amended originating summons dated June 20, urged the tribunal to  among other reliefs, issue an order, directing and mandating the cable service provider to adopt a pay-as-you-view model of billing for all its products and services in the country.

He equally asked the tribunal to restrain MultiChoice from proceeding with its plan to increase subscription fees for its services and products pending the determination of the matter as well as to demand the sum of N10 million as damages against the company.

Breaking news & top stories

Stay connected with The Sun Newspaper

Get breaking news, exclusive stories, and live updates delivered straight to your phone. Join thousands of readers already following us on Whatsapp Channel and Telegram.

Breaking news & top stories

Follow The Sun Newspaper

Get live updates & exclusive stories delivered straight to your phone.

Breaking news & top stories

Stay connected with The Sun Newspaper

Get breaking news, exclusive stories, and live updates delivered straight to your phone. Join thousands of readers already following us on Whatsapp Channel and Telegram.