Court dismisses MultiChoice suit against FCCPC over subscription price hike

A Federal High Court in Abuja has dismissed a suit filed by MultiChoice Nigeria, the operators of DStv and GOtv, challenging the intervention of the Federal Competition and Consumer Protection Commission (FCCPC) in its recent subscription price hike.

In a judgment delivered on Thursday, Justice James Omotoso held that the suit amounted to an abuse of court process, pointing out that similar proceedings were already pending in another court. The judge said MultiChoice should have pursued its claims in that forum, rendering the present suit procedurally inappropriate.

Justice Omotoso, while affirming the investigative powers of the FCCPC under its establishing Act, stated that the agency lacks the authority to fix or suspend prices unless such powers are delegated by the President through a gazetted instrument in accordance with Section 88 of the Federal Competition and Consumer Protection Act (FCCPA).

“The power to fix prices is exclusively that of the president. Any decision taken without such delegation is a nullity,” the judge ruled.

He added that Nigeria operates a free market economy where service providers, including MultiChoice, are at liberty to set their prices, while consumers have the choice to accept or reject them.

The court also faulted the FCCPC’s directive asking MultiChoice to suspend its subscription hike, ruling that such an order breached the company’s right to fair hearing and appeared selectively enforced. The judge further dismissed the commission’s claim that MultiChoice held a dominant market position, describing the assertion as “untenable.”

“The use of services like those provided by the plaintiff is discretionary and not essential. Nigeria can do without it,” Justice Omotoso noted.

He warned that unwarranted regulatory interference, particularly in pricing, could deter investment and destabilise the economy.

MultiChoice had on March 1, 2025, implemented a price increase of up to 25%, citing rising inflation and operational costs. The FCCPC opposed the move, demanded regulatory scrutiny, and threatened sanctions, prompting the pay-TV company to seek legal redress.

Reacting to the judgment, FCCPC Director General, Mr. Tunji Bello, welcomed the ruling, noting that while the court struck down the agency’s intervention in this instance, it reaffirmed that the president may lawfully delegate the power to regulate prices to the commission.