CAT dismisses appeal filed by Eden Builders, upholds CCP decision

ISLAMABAD   -   In a recent development, the Competi­tion Appellate Tribunal (CAT) has dis­missed the appeal filed by Eden Builders (Pvt) Ltd, upholding the decision of the Competition Commission of Pakistan (CCP) regarding misleading advertis­ing claims about their housing project. In 2018, the CCP imposed a penalty of PKR 2.5 million on Eden Builders for de­ceptive marketing campaigns related to their ‘Eden Life Islamabad’ project, vio­lating Section 10 of the Competition Act, 2010. The CCP determined that Eden Builders’ claims were misleading. Spe­cifically, their advertisement featured an illegible disclaimer about additional development charges not included in the quoted price, which was held mislead­ing and tantamount to an omission of material price related information, thus violating Section 10 of the Competition Act. The allusion in the advertisement of approval by CDA was also held to be a false and misleading claim, as there was no such approval. Eden Builders filed an appeal against the CCP’s order before CAT. The Tribunal dismissed the appeal and upheld CCP’s order regarding Eden Builders’ violations of Section 10 of Act.

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