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Ruling On Freeserve Case Against Oftel Expected Next Week

by Robin Pilgrim, LawAndTax-News.com, London

14 April 2003

Specialist competition law court, the Competition Appeal Tribunal (CAT) is to rule this week on a complaint made by internet service provider Freeserve against the UK's telecoms regulator, Oftel.

In March 2002, Freeserve complained that BT's wholesale department had breached competition law and abused its dominant position by giving BT Openworld, the company's ISP division, advance notice of a 40% reduction in wholesale broadband prices. This, according to Freeserve, allowed its competitor to put together price offers and marketing campaigns ahead of the market.

Freeserve also alleged that BT Openworld's offerings were cross-subsidised and predatory.

Although Oftel dismissed the ISP's case, the CAT announced that Oftel's decision was 'appealable', and held a public hearing on the matter in January this year. Judgement on the case will be handed down on Wednesday.

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