Nigerian Businesses, Consumers, Will Benefit Quality Services from FCCPC Act, says Legal Practitioners

Pan-African Antitrust and Competition Lawyer, Mark Griffiths, has said that the recent Federal Competition and Consumer Protection Council (FCCPC) Act signed into law, will help firms and citizens get quality service from companies operating in the country.

Griffiths’ defence came on the heels of a collaborative training workshop on ‘The Changing Landscape FCCPC Act' , organised by Jackson, Etti & Edu and Norton Rose Fulbright, in Lagos State.

“This law will help Nigerian businesses and consumers, get quality services from companies in the country,” he said.

Against the backdrop of several concerns raised by stakeholders, the Director of Norton Rose expressed that, from a business perspective, they legitimately set out the needs to understand the implementation framework of the Act.

He revealed that, participants were asking for transparency from the Commission, in terms of how they would be implemented.

“On the other side, the Commission itself – particularly the Chief Executive – demonstrated his willingness to engage businesses. They want to collaborate and be pragmatic, in their approach”.

According to the legal practitioner, there are guidelines in the Act, which will change business activities in Nigeria. In addition, he remarked that, it is quite clear that healthy descriptions are needed first, and are welcomed by stakeholders.

Speaking on the need for best practices as well as the agreement between competitors, Griffiths noted: “I haven’t heard any provisions on that, up till now. I suspect there will be a focus on what the impact of these provisions on business, in terms of collaborations between competitors in trading sections”.

Griffiths, who actively practices in Nigeria, told newsmen that there was a number of key critical success-parties, that needed to be looked at. He made reference, to the need for sufficient political and budgetary support from the Commission.

He spoke further: “In a competition authority, it's quite an expensive authority. We have looked at the type of budget that was spent across Africa by authorities”.

Speaking also on the Act, a Partner at Jackson, Etti & Edu, Mr. Taiwo Adeshina, assured newsmen that firms and their Lawyers, would not exploit certain provisions of the Act.

He continued: “It will not be exploited, because competition laws are based on subjective use and in many cases, in terms of what is competitive or not. Certainly, there is room for discretion, where you have got provisions”.

Citing an example of the previous Act, Adeshina expressed his apprehension on the compliance to some of the provisions in the new Act.

“The repealed Consumer Protection Council Act didn’t achieve much, as service providers simply disregarded its provision. What is the assurance that, the same fate will not befall the new Act,” he said.

Adesina also observed that, there is a problem with that. “I think that problem is not going away very soon, because under the present regime which is the FCCPA, there is concurrency in jurisdiction between the primary regulator as well as the Commission”, he noted.

He highlighted some of the issues that may likely arise, now that the Commission is FCCPC. "What has happened with the establishments, was because they both had their own sector regulator. The Commission will probably allow those regulators to reign, and there will be the struggle for control".

On their shared optimism for the Act, Adeshina said that it would give them a chance to succeed.

“We don't want to approach it, from a pessimistic perspective. The need of the Act, would be felt in the regulations and enable guidance. That is what we are awaiting. Some businesses are well part of the legislation, they were comforted to hear that there is a competition”, he added.

The duo unanimously pointed out that, the Act has extra-territorial reach, that is, it applies to people outside Nigeria, which has the control of the local entity. Others outside this jurisdiction, are expected to come and seek approval from the Commission.