Madras HC dismisses pleas of 14 firms against Google billing policy
Startups allege tech giant had introduced new billing system to circumvent Competition Commission of India's order
 "Madras HC dismisses pleas of 14 firms against Google billing policy")
The Madras High Court on Thursday dismissed petitions by 14 companies, including matchmaking website Bharat Matrimony and edtech firm Unacademy, against Google’s in-app billing policy and said the issue fell in the ambit of the Competition Commission of India (CCI).
The court has two remaining pleas against Google: one by streaming service Disney+ Hotstar and another by Testbook, an exam preparation app.
The court said that the remedy available under the Competition Act is more comprehensive than that before a civil court. “The order of CCI is liable to be challenged in appeal before National Company Law Appellate Tribunal,” it said.
The court in April had temporarily restrained Google from delisting the mobile app of Matrimony.com Ltd, the parent company of Bharat Matrimony, from its Play Store.
The interim order was passed on a plea filed by Matrimony.com challenging Google’s policy. The matchmaking company sought to restrain Google from removing its app from the Play Store for not accepting the policy. The court had granted relief to Matrimony.com till June 1.
The CCI, in October last year, penalised Google Rs 936 crore and asked it not to restrict app developers from using third-party billing services. The company was also asked not to impose discriminatory conditions.
Indian startups alleged before the High Court that Google had introduced the User Choice Billing (UCB) system to circumvent CCI’s order. They asked the court to declare charges levied under UCB as illegal.
The High Court said on Friday that if an order passed by CCI is violated, the Competition Act itself provides for effective civil and criminal remedies. “The present suits filed by 1st respondent/plaintiff (Matrimony.com) are barred by Section 61 of Competition Act,” it said.
Disney moved the High Court in July to challenge Google's in-app billing system. The company, which runs the Disney+ Hotstar streaming app in India, told the court that Google was threatening to remove the streaming app if it didn't comply with the billing system. The court told Google not to remove the app from its store and asked it to receive a 4 per cent service fee from Disney.