The Georgian Competition and Consumer Agency (GCCA) has declared inadmissible a complaint submitted by Allservicegroup LLC against Citycom LLC, concluding that the respondent's conduct showed no indications of unfair competition.
The complaint concerned undertakings active in the management and maintenance of multi-apartment residential buildings. The complainant alleged that Citycom LLC had disseminated, to existing and prospective clients, including through WhatsApp groups and private messages, statements calling into question the lawfulness of Allservicegroup LLC’s activities and its ability to continue providing its services. According to the complainant, this communication was intended to harm its business reputation, undermine consumer trust, and unlawfully divert its client base.
The Agency examined the submissions and evidence put forward by the parties, including the messages addressed to consumers. It found that part of the contested communication related to Citycom LLC’s use of a utility model patent and the corresponding licence. The case file confirmed that a licensing arrangement concerning the use of that patent existed between Citycom LLC and the patent holder. Information on Citycom LLC’s activities communicated on that basis could therefore not be considered misleading.
Furthermore, the Agency noted that the evidence failed to demonstrate that the messaging had influenced consumer decision-making or prompted clients to terminate their contracts with Allservicegroup. Regarding the alleged damage to business reputation, the Agency determined that no false factual claims had been disseminated about Allservicegroup, as the statements referencing the company did not contain verifiable factual assertions capable of being proven true or false.
The Agency therefore concluded that the evidence submitted did not give rise to a reasonable suspicion of an alleged violation of the prohibition of unfair competition, and that there were no grounds to open an investigation.
By its decision, the Agency declared the complaint of Allservicegroup LLC inadmissible.
This year, the Georgian Competition and Consumer Agency opened investigations on the basis of 3 complaints, declared 11 complaints inadmissible and left 4 complaints without consideration. In one case, a conditional commitment was accepted. Admissibility review proceedings are currently under way in respect of 2 complaints.
