Woodlands Dairy (Pty) Ltd and Another v Competition Commission; Competition Commission v Clover Industries Limited and Others (103/CR/Dec06) [2009] ZACT 18; [2009] 1 CPLR 250 (CT) (17 March 2009)

Parties

Procedural Posture

Preliminary Application / Points in Limine Before Commencement of Hearing

Legal Issues

1. 1 Whether the Competition Commission's summonses to Woodlands and Milkwood were void for vagueness and overbreadth.
2. 2 Whether the Commission was required to have a validly initiated complaint before exercising its investigative powers under section 49A of the Competition Act.
3. 3 Whether the evidence obtained pursuant to the summonses should be excluded from proceedings.

Ratio Decidendi

The Tribunal found that both the summonses issued to Woodlands Dairy (Pty) Ltd and Milkwood Dairy (Pty) Ltd were void for vagueness and overbreadth. The summonses failed to specify with sufficient particularity the prohibited practice under investigation, thereby exposing the applicants to unfair administrative action and undue invasion of privacy. The Tribunal held that a summons under section 49A of the Competition Act must stipulate the prohibited practice and provide enough detail to guide the addressee. The Tribunal rejected the argument that the applicants had waived their rights, finding that they were not fully apprised of their rights at the time of compliance. The Tribunal...