Apple has approached the Delhi High Court challenging provisions of India’s competition law that permit the Competition Commission of India (CCI) to impose penalties based on the “global turnover” of multinational companies. The petition has been listed for hearing before a Division Bench of Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela on November 26.
In its filing, the US-based company has made the Union of India and the CCI parties to the case, as per media reports. Apple has challenged the 2023 amendment to Section 27(b) of the Competition Act, 2002, along with the Competition Commission of India (Determination of Monetary Penalty) Guidelines, 2024, to the extent that they introduced the concept of “global turnover”.
The company has also highlighted that Section 27(b) allows the CCI to levy penalties of up to 10% of the average turnover or income of the past three years for abuse of dominant position or anti-competitive agreements. The 2023 amendment to Explanation 2 of the section has expanded the definition of “turnover” to include “global turnover”, a change Apple has now contested before the court.
