MDPPACPB Regulations

Page 42 of 127
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PART IX: MARKET DOMINANCE 
 
36. Prohibition of Abuse of Dominant Position 
(1) General Prohibition  
No licensee or market participant shall abuse a dominant position in any 
relevant midstream or downstream petroleum market. Dominance is not 
prohibited; however, its abuse constitutes a violation of the Act, this Regulation 
and Section 72(2) of the Federal Competition and Consumer Protection Act. 
(2) Forms of Abuse 
 An abuse of dominance shall include, but not be limited to: 
 
(a) 
Imposing unfair purchase or selling prices or other unfair trading 
conditions; 
 
(b) 
Limiting production, markets, or technical development to the 
prejudice of consumers or the efficient operation of the market; 
 
(c) 
Engaging in conduct that directly or indirectly imposes 
discriminatory conditions on equivalent transactions with other trading parties, 
thereby placing them at a competitive disadvantage; 
 
(d) 
Making the conclusion of contracts subject to acceptance by the 
other parties of supplementary obligations which, by their nature or according 
to commercial usage, have no connection with the subject of such contracts; 
 
(e) 
Engaging in conduct that has the effect of foreclosing the market 
to actual or potential competitors, including refusal to deal, margin squeezes, 
predatory pricing, or exclusive dealing arrangements; 
 
(f) 
Exploiting consumers or small market players through unfair, 
opaque, or discriminatory terms, including data practices or contractual 
coercion. 
(3). 
Unfair Trading Terms 
Without prejudice to subregulation (2), the following contractual practices by 
a dominant firm are prohibited unless objectively justified— 
(a) tying arrangements; 
(b) unjustified non-compete clauses; 
(c) forced disclosure of competitively sensitive information; 
(d) unilateral amendments, excessive penalties, or exclusivity without 
legitimate basis; 
(e) terms aimed at raising the costs of competitors or locking-in customers. 
 
37. Presumptively Unlawful Conduct by Dominant Firms 
(1) Application and Scope:  
Without limiting the general prohibition in Regulation 36, any of the following 
conduct by a licensee found to be in a dominant position under this Regulation 
shall be presumed unlawful unless the licensee can demonstrate, to the 
satisfaction of the Authority, that the conduct is objectively justified, 
proportionate, and does not have the purpose or effect of restricting, 
distorting, or preventing competition. 
(2) Presumed Abusive Conduct:  
The following conduct, when engaged in by a dominant firm, shall raise a 
rebuttable presumption of abuse of dominance: