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Law

The General Administration of market supervision shall impose administrative penalties on meituan's "one of two" monopoly in the service market of online catering takeout platform in China according to law

2021-10-09   

In April 2021, in accordance with the anti monopoly law of the people's Republic of China, the State Administration of market supervision filed an investigation into meituan's abuse of market dominance in the service market of online catering takeout platform in China. The State Administration of market supervision has set up a task force to promote the investigation and handling of cases in a solid and efficient manner according to law, carry out extensive investigation and evidence collection, obtain a large number of evidence materials, conduct comprehensive and in-depth analysis, and find out the facts of the case; Organize experts to carry out in-depth research and demonstration repeatedly; We have listened to the US delegation's statements for many times to protect its legitimate rights; Ensure that the facts of the case are clear, the evidence is conclusive, the nature is accurate, the handling is appropriate, the procedures are complete and the procedures are legal. According to the investigation, since 2018, meituan has abused its dominant position in the service market of online catering takeout platform in China, promoted businesses in the platform to sign exclusive cooperation agreements with them by implementing differential rates and delaying the launch of businesses, and adopted a variety of punitive measures to ensure the implementation of "one of two" by collecting exclusive cooperation deposits, data, algorithms and other technical means, It excludes and restricts relevant market competition, hinders the free flow of market resource elements, weakens the innovation power and development vitality of the platform, and damages the legitimate rights and interests of businesses and consumers in the platform, which constitutes that item (4) of paragraph 1 of Article 17 of the anti monopoly law of the people's Republic of China prohibits "restricting the counterparty to trade with it without justified reasons" Abuse of market dominance. According to the provisions of Articles 47 and 49 of the anti monopoly law of the people's Republic of China, taking into account the nature, extent and duration of meituan's illegal acts and other factors, on October 8, 2021, the State Administration of market supervision made an administrative punishment decision according to law, ordering meituan to stop the illegal acts and refund the exclusive cooperation deposit of RMB 1.289 billion in full, In addition, it will be fined 3% of its domestic sales of 114.748 billion yuan in 2020, totaling 3.442 billion yuan. At the same time, it issued the administrative guidance to meituan, requiring it to carry out comprehensive rectification around improving the Commission charging mechanism and algorithm rules of the platform, safeguarding the legitimate interests of small and medium-sized catering businesses in the platform, strengthening the protection of the legitimate rights and interests of takeout riders, and submit a self inspection and compliance report to the State Administration of market supervision for three consecutive years to ensure that the rectification is in place and realize the healthy and sustainable development of standardized innovation. (outlook new era)

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