Interim Relief

Interim Relief

09/IR/Mar10

TitleGogga Tracking and Vodacom
Case No09/IR/Mar10
PartiesGogga Tracking Solutions (Pty) Ltd vs Vodacom Service Provider (Pty) Ltd
StatusDismissed
Rating2
Date07/06/2010
Time10:00:00
SummaryThe Competition Tribunal ordered that the interim relief application brought by Gogga Tracking Solutions (GTS) against Vodacom Service Provider (VSP) is struck from the roll. GTS is a data retailer targeting the market for data packages smaller than 500 megabytes and a customer of VSP. VSP is not only a data wholesaler but is itself a participant in the retail market for data bundles, being vertically integrated at least to this extent, and thus is a competitor of GTS in the retailing of data bundles. The underlying complaint of GTS is an allegation of an abuse of dominance by VSP. More specifically, GTS complains that it was the victim of a margin squeeze by VSP. The interim relief sought includes interdicts which would prohibit VSP from inter alia cutting off the supply of data to any of GTS’ customers, interfering with the telecommunications facilities provided by GTS to its customers, and demanding payment from GTS of disputed amounts in GTS’s account with VSP. The Tribunal has decided at this stage that effect must be given to an existing shareholders’ agreement as it stands regarding the issue of authorisation to bring an interim relief application as GTS. The agreement contains a clause which at face value has the effect that GTS may not engage in litigation without the consent of both the current shareholders, namely the Somnium Family Trust (which is represented by Mr Eugene Beetge (‘Beetge’), the sole director of GTS) with a shareholding of 51% and Vodacom Ventures (VV”), which is a subsidiary of VSP, with a shareholding of 49%. Accordingly, Vodacom contended, in view of VV’s position as a shareholder in GTS, the consent of VV was...
Keywordsinterim relief, telecommunications, point in limine, data bundle
SourceCompetition Tribunal
Document09IRMar10
Date Posted05/10/2010 10:43am