Google Vs Startups: Delhi HC defers hearing of the case to December 7

Google CCI

A two judge bench of Delhi High Court on November 1 deferred the hearing of  Google's appeal against the single-judge order asking the Competition Commission of India (CCI) to hear applications moved by Indian startups against Google's user choice billing system to December 7.

Senior advocate Jayant Mehta, who appeared for the start ups told the court that the order has worked itself out, however they were ready to argue the case if Google is insistent on pursuing the appeal.

Sajan Poovayya, senior advocate, appearing for Google told the court that they were pursuing the case to address the question of law and hence it has to be argued at length. The lawyer also told the bench that the appeal is against the order of Justice Tushar Rao, who is now a member of the two judge bench, hence it has to be placed before another bench. The court adjourned the case accordingly.

Pursuant to Delhi High Court's order, the CCI conducted a preliminary hearing and decided to inquire into tech giant Google's new users’ choice billing policy and check whether the company has complied with its October 2022 order asking the tech major not to restrict app developers from using third-party billing system.

On April 24, in a plea by a bunch of Indian startups, Delhi High Court asked the CCI to hear applications moved against Google's user choice billing system.

Alliance of Digital India Foundation (ADIF), a think tank, moved court against the competition regulator and the search engine giant, seeking CCI to urgently investigate Google's user choice billing system (UCB) as it violates the anti-trust watchdog's October 25, 2022 order.

The petition sought a directive to CCI to invoke the 'doctrine of necessity' (extraordinary actions by administrative authority) to investigate Google's alleged violation of the regulator's guidelines and pass an order as CCI does not have the quorum to adjudicate anti-trust cases. It also sought a stay on Google's implementation of the UCB till the investigation was over.

In October 2022,  CCI levied a penalty of  Rs 936.44 crore on Google for abusing its dominant position in its Play Store policies. Google is currently pursuing its appeal in NCLAT against CCI's penalty.