Summary

Background Facts:

An appeal was filed against the order dated 18th August 2017 issued by the Director General (Exemptions), whereby an extension in the exemption was granted to M/s. Pakistan Tobacco Company Limited with respect to its standard distribution agreement subject to two conditions, one of which, and which was impugned, was that the word Max R.P (Retail Price) would be printed on the product of the undertaking and proof of that would be provided to the Commission once materialized.

Order:

The Appellant Bench, based on the written and oral submissions, directed to set aside the aforesaid in the Impugned Order and issued a fresh extension in exemption certificate to the Appellant with the condition that “the parties shall not fix minimum resale price of the products which are subject of distribution agreement”.

Also, the Appellant was cautioned not to infringe the provisions of Section 4 of 2010 Act and exploit the exemption so granted by engaging in fixing the minimum retail price with reference to the products which were subject of the standard distribution agreement.