2025 CLD 651 COMPETITION COMMISSION OF PAKISTAN

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IN THE MATTER OF SHOW-CAUSE NOTICES ISSUED TO M/S. UNILEVER PAKISTAN LIMITED AND M/S FRIESLAND CAMPINA ENGRO PAKISTAN LIMITED VS M/S PAKISTAN FRUIT JUICE COMPANY PRIVATE LIMITED REGARDING DECEPTIVE MARKETING PRACTICES S. 10---Deceptive marketing practice and dissemination of false and misleading information---"Ice-cream" and "frozen dessert"---Distinction---Third party advertisement---Advertisement on E-platforms---Complainant alleged that respondents / companies had been selling their frozen desserts under the garb of ice-cream and had been advertising the same on social media also---Respondent / company contented that it was not responsible for advertisements by third party seller on E-platforms---Validity---No action was taken by respondent / company to stop such advertisements on E-platforms and it also did not clarify the same to consumers at any stage---Financial and marketing benefits of alleged claims about the products on E-platforms were also reaped by respondent / company---If respondent / company had recognized that alleged claim was not crafted or created by them, then they would have stopped third party resellers---Despite being mindful of difference between two products i.e. "frozen dessert" and "ice-cream" respondents / companies knowingly initiated their marketing campaigns to sell their products, which were actually "frozen desserts", under the guise of "ice-cream"---Respondents / companies distributed false and misleading information to consumers viz-a-viz the character and properties of their products---Respondents / companies violated S.10(2)(b) of Competition Act, 2010 by disseminating false and misleading information to consumers---Conduct of respondents / companies was contra legem and amounted to deceptive marketing practices within the meaning of Ss. 10(1) & 10(2)(b) of Competition Act, 2010---Competition Commission of Pakistan imposed penalty upon respondents / companies for disseminating false and misleading comparison of goods in process of advertisement within the meaning of Ss. 10(1) & 10(2)(c) of Competition Act, 2010---Competition Commission of Pakistan directed respondents / companies to cease and desist from carrying out any false and misleading marketing practices concerning their "frozen dessert" products and restrain from making claims in a manner which could give consumers an impression of "frozen dessert" products as "ice-cream"---Commission further directed respondents / companies to modify all advertisements and promotional materials, whether through newspapers, TV campaigns, in electronic or digital media, social media posts or on their official websites and display only truthful claims regarding their products---Competition Commission also directed respondents / companies to ensure inclusion of disclaimer or disclosure as to the true nature of their products in explicit, express and bold terms, as per requirements of law and display the same prominently on the products packaging and in print / electronic / social media---Commission also directed respondents / companies to file compliance report otherwise additional penalty would be imposed---Complaint was allowed accordingly.

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