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HomeNewsPrice hike: Court dismisses MultiChoice’s suit against FCCPC

Price hike: Court dismisses MultiChoice’s suit against FCCPC

Published on

BY VIVIAN MICHAEL, ABUJA

The Federal High Court in Abuja has thrown out a lawsuit filed by MultiChoice Nigeria, the parent company of DStv and GOtv, challenging the Federal Competition and Consumer Protection Commission (FCCPC) interference in its recent subscription price hike.

Justice James Omotosho ruled that the case amounted to an abuse of court process, as similar proceedings were already pending in another court.

MultiChoice had increased its subscription rates by up to 25% on March 1, 2025, citing inflation and rising operational costs. The FCCPC opposed the hike, demanded a regulatory review, and threatened sanctions, prompting MultiChoice to seek legal redress.

However, Justice Omotosho held that the company ought to have pursued its case in the already pending suit, rendering this fresh filing procedurally flawed.

The judge clarified that while the FCCPC has investigative powers under its Act, it lacks the legal authority to fix or suspend prices unless such powers are expressly delegated by the President through a gazetted instrument—none of which was presented in court.

“The power to fix prices rests solely with the President. Any action taken without such delegation is null and void,” the judge said.

Omotosho stressed that Nigeria operates a free-market economy where service providers like MultiChoice are at liberty to set prices and consumers are free to accept or reject them.

He also ruled that the FCCPC’s directive for MultiChoice to suspend its price increase breached the company’s right to fair hearing and seemed selectively enforced.

Additionally, he dismissed the FCCPC’s argument that MultiChoice held a dominant market position, calling the claim “untenable.”

“The use of the plaintiff’s services is discretionary, not essential. Nigeria can survive without them,” he added, warning that regulatory overreach could scare off investors and damage economic growth.

In sum, the court ruled that while the FCCPC can investigate market conduct, it cannot impose price controls without solid legal backing.

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