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Competition Commission tells Constitutional Court it is “unworkable” to initiate new complaint for new conduct or party in existing cases

 |  February 8, 2012

Following a complaint in 2007, the Competition Commission investigated Loungefoam and Vitafoam. The Commission then continued to extend its probe to other firms in the foam industry to explore possible price-fixing and collusion. The foam companies Loungefoam, Vitafoam, Feltex, Steinhoff and Kap appealed the Competition Tribunal’s decision to allow the Commission to amend its complaint referral on three different issues. The Competition Appeal Court decided to uphold the appeal and held that the Commission had not initiated a complaint against Feltex, with respect to cartel behavior, in the three initiating documents signed by the commissioner.

The Commission has decided to approach the Constitutional Court directly for leave to appeal against the Appeal Court’s decision. The Commission argued that if it had to initiate a new complaint each time it uncovered new conduct or parties, instead of adding such conduct or parties to an existing complaint, it would limit its powers to investigate competition matters.

Source: Business Day