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Magnus Graphics V. Nilpeter India

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Magnus Graphics V. Nilpeter India
The term ‘aftermarket’ is generally used in the automobile industry and it is generally a secondary market dealing in spare parts, accessories and other components for motor vehicles. It is also concerned with the service, maintenance and customization of vehicles in the automobile sector. The other support and maintenance markets involve kinds of services similar to the automobile aftermarkets but in different sectors with regards to different kinds of machines.
An enterprise which exercises control over an important input available in the secondary market associated with a particular product in the primary market will have an advantage over competitors in the market as the consumers may be dependent upon the enterprise for such input which
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Nilpeter India pvt. Ltd ., the Magnus Graphics (Informant) was a proprietorship firm engaged in the business of label printing at Muzaffarnagar, Uttar Pradesh and Nilpeter India pvt. Ltd. (Opposite Party No. 1) was engaged in the business of manufacturing, distribution, marketing, installation, and after sales services including training of operators of the Nilpeter brand of label printing machines in India. The informant purchased a Nilpeter brand of label printing machine FB-3300 Servo Flexo Printing Machine (machine) from the opposite party no. 1 for Rs. 2, 41, 11, 148/-
The opposite party no. 1 started denying support to the Informant in terms of service, spares and equipment sales in respect of Nilpeter Printing Machine, etc. after expiry of the warranty period and the informant applied before the competition commission to restrain the opposite parties from abusing their dominant position in the market.
To examine the alleged abusive conduct of the Opposite Party No. 1, the Director General was appointed to investigate into the matter and as per his report, the market of “the servicing of Nilpeter FB 3300 Servo Flexo Printing Machine in the territory of India” was identified as the relevant market in the present
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It unilaterally stopped supplying the spare parts to the agents which it earlier used to provide. It was held by the Court that even when there was competition in the primary market, abuse or exploitation could occur in the secondary market after observing that the market for providing support and aftermarket services was different from the primary market in which Kodak sold its

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