Case No. 67 of 2016. Case: Veer Pratap Naik Vs AVEVA Information Technology India Pvt. Ltd.. Competition Commision of India
| Case Number | Case No. 67 of 2016 |
| Counsel | For Appellant: Veer Pratap Naik, MD & CEO and Sunita Mason, Director and For Respondents: Ramji Srinivasan, Senior Advocate, Harman Singh Sadhu, Vivek Aggarwal, Supritha Produtari, Vivek Paul Oriel, Advocates, Navtej Garewal, Senior Vice President and Nikhil Gawai, Legal Manager |
| Judges | Devender Kumar Sikri, Chairperson, Sudhir Mital, Augustine Peter and U.C. Nahta, Members |
| Issue | Competition Act, 2002 - Sections 19(1) (a), 26(2), 3, 3(3)(a), 3(3)(b), 4, 4(2)(a)(i), 4(2)(a)(ii), 4(2)(b)(i), 4(2)(c) |
| Judgement Date | December 05, 2016 |
| Court | Competition Commision of India |
Order:
Order under Section 26(2) of the Competition Act, 2002
-
The present information was filed by Shri Veer Pratap Naik ('Informant') under Section 19(1) (a) of the Competition Act, 2002 (the 'Act') against AVEVA Information Technology India Pvt. Ltd. ('OP'/'AVEVA') alleging, inter alia, contravention of the provisions of Sections 3 and 4 of the Act.
-
As per the information, the Informant is a private limited company incorporated under Companies Act, 1956 and is engaged in the business of providing engineering support in the form of 3D modeling and preparation of structural steel fabrication drawings to engineering, procurement and construction (EPC) companies in India as well as globally. The OP is a wholly owned subsidiary of AVEVA Solutions Limited, which is stated to be one of the leading engineering, design and information management software providers in the world. It is stated that Aveva Solutions Limited had acquired BOCAD Services International S.A. Belgium (BOCAD) in the month of May, 2012.
-
It is stated that the Informant entered into an agreement with BOCAD Services International S.A. Belgium on 26th August, 2010 to purchase 30 'BOCAD licenses' over a period of the next 3 years for a total consideration of 10,000 Euros each. It is averred that 20 of these licenses were purchased before BOCAD got acquired by AVEVA i.e. before May, 2012.
-
It is averred that, after the merger, AVEVA's representatives had contacted the Informant and insisted that the Informant buy the balance 10 licenses of BOCAD as per their earlier agreement. Thereafter, OP also offered 6 licenses of the 'Plant Design Management System (PDMS) Software' along with the balance 10 BOCAD licenses. In this regard, the Informant entered into an agreement with the OP vide Licenses Agreement CA-AP1102 dated 1st January, 2014. It is stated that the OP had concealed the information that the licenses of its products were also available on a monthly rental basis, and it had collected the first year Annual Maintenance Contract (AMC) fee of Rs. 10,710,000/- on a yearly basis from the Informant.
-
It is alleged that there were fundamental differences between the terms of agreement entered with BOCAD and viz-à-viz the agreement entered with the OP. In case of BOCAD, the licenses for the software were dongle based and operated uninterruptly (perpetual), even if no AMC fee was paid for the following year. The Informant had the right to use and had complete possession and...
To continue reading
Request your trial