LHC dismisses Honda Atlas intra-court appeal, upholds CCP jurisdiction in auto sector probe

The Lahore High Court has ruled that an intra-court appeal filed by Honda Atlas Cars (Pakistan) Limited against an ongoing regulatory enquiry was not maintainable, directing that any grievances must be pursued through the statutory appeals process provided under competition law.

A two-member bench comprising Justice Chaudhry Muhammad Iqbal and Justice Syed Ahsan Raza Kazmi observed that the existence of a dedicated appellate framework under the Competition Act, 2010 renders constitutional petitions and intra-court appeals inadmissible at an intermediate stage, particularly when enquiry proceedings are still in progress and no final order has been issued.

The case stems from an enquiry initiated in November 2018 by the Competition Commission of Pakistan into alleged anti-competitive practices in the automobile sector, including charging on-money premiums, delaying vehicle deliveries, and increasing prices after customer bookings.

The court noted that the law provides a clear sequence of remedies for aggrieved parties. Under the Competition Act, appeals against orders passed by a member or authorised officer of the commission may be filed before its Appellate Bench within 30 days, while decisions issued by two or more members or the Appellate Bench may be challenged before the Competition Appellate Tribunal within 60 days.

The bench further reiterated that furnishing information to the competition regulator is a statutory obligation and attempts to challenge its jurisdiction at an advanced stage of proceedings are not legally sustainable.

The intra-court appeal had been filed against an earlier judgment dated October 20, 2025, in which a single judge of the high court dismissed the company’s writ petition contesting the regulator’s authority to conduct the enquiry. In that decision, the court held that the commission is fully empowered under Sections 36 and 37 of the Competition Act to collect information, examine market conduct, and investigate potential anti-competitive behaviour.

According to the regulator, multiple notices seeking detailed information were issued to the company during the course of the enquiry, but despite extensions, the required data was not fully provided.