THE TWELFTH NLU ANTITRUST LAW MOOT COURT COMPETITION, 2021

National Law University, Jodhpur

in association with

Cyril Amarchand Mangaldas

KNOWLEDGE & RESEARCH PARTNERS

LIST OF CLARIFICATIONS
 LIST OF CLARIFICATIONS

1. Did Vijeta discontinue assembling smartphones for MNC Frapple?

Response:
No, Vijeta has not discontinued assembling smartphones for MNC Frapple. However, the
revenue from assembling smartphones for MNC Frapple is a very miniscule part of Vijeta’s
entire revenue.
2. In Para 10 what do you mean by "network effects"?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
3. In Para 4 what does "...policy response" mean?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
4. After the trade war between Genovia and Panem (as referred under p. 4), did Genovia
stop importing Panemese smartphones and electronics completely?
Response:
No, Genovia did not stop importing Panemese smartphones and electronics after the trade
war.
5. Is MNC Frapple Genovian company or overseas company?
Response:
MNC Frapple is an overseas company but has substantial presence in Genovia through
subsidiaries, branch offices, etc.
6. Whether or not Macrosoft and Froogle are Genovian companies?
Response:
Macrosoft and Froogle are overseas companies but have substantial presence in Genovia
through subsidiaries, branch offices, etc.
7. Are we allowed to frame more than 3 Issues in the memorial as per the first paragraph of
the NOTES mentioned in the moot problem?
Response:
Note 3 to the Moot Proposition should be read as – “[…] they are free to frame issues or
sub-issues...” instead of “[…] they are free to frame sub-issues…”. Participants can use
their discretion to frame issues and sub issues.
8. Is it necessary to frame the issues of maintainability through sub-issue? Can the issue be
formed for the same?

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 Response:
It is not necessary for participants to frame the issue of maintainability through a sub-issue.
Participants can use their discretion to put forth the issue of maintainability as a separate
issue or a sub issue.
9. In paragraph 7(d), where the practices of Vijeta are given, it is explicitly mentioned that
“While there are authorized dealers of Vijeta which sell parts and accessories for Mango
phones, these dealers are categorically not allowed to sell any parts or accessories
manufactured by any other company except for Vijeta.” However, in the eighth paragraph,
they rubbish the claims of the daily beagle by saying that an employee personally reported
the problematic practices. So,
a. Whether the practices mentioned in paragraph 7 are true and are the ones that Vijeta
actually follows and officially accepts?
Response:
In paragraph 8 of the Moot Proposition, the phrase “[…] representatives of Vijeta
rubbished these claims…” relates to the claims pertaining to “employing a mystery
shopping agency in order to supervise and keep tabs on the prices at which Mango
products were being sold in different stores,”. The same is not in reference to paragraph
7(d) of the Moot Proposition. Information provided in the Moot Proposition is sufficient
in this regard.
10. What does the words, "Network Effects" mentioned in paragraph 10 signify?
Response:
Please refer to the response to Query 2.
11. Does the Warranty offered by 'Vijeta' on Mango products only apply to hardware of the
company or does it apply to the software as well?
Response:
The Warranty offered by Vijeta on Mango products only apply to the hardware
components of the product.
12. Does "many app developer companies" mentioned in paragraph 10, include the Genovian
companies as well?
Response:

Yes. The term "many app developer companies" includes both Genovian companies and
overseas companies.

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13. In Paragraph 5, it is mentioned that the Government fully funded Vijeta, and that the
Government invested in research and development activities at Vijeta. Does Government
here signify DOTD?
Response:
Yes.
14. Paragraph 6 states that Offix provided a one-month free trial after which the customers
had to pay the subscription charges to use it. Did the application take the customers’
permission before deducting the subscription amount after one month?
Response:
In order to continue using the Offix software after a month, it was necessary for the user
to make the payment.
15. Paragraph 6 states that “All Mango smartphones today come pre-loaded with ‘Offix’,
which include a free trial period of 1 month and paid subscriptions thereafter”, however
according to paragraph 9, the Daily Beagle noted that in July 2019, Vijeta made
subscription to its Offix applications completely free for all users for 12 months. What is
Vijeta’s subscription policy for Offix, and was it ever changed?
Response:
As a promotional move by Vijeta from July 2019 to June 2020, Offix was completely free
on Vijeta’s phones for all users. However, subscription policy of Offix was applicable w.e.f.
July 2020.
16. Are the media reports mentioned in Paragraph 7 (b) factually true or are they mere claims?
Response:
The media reports mentioned in Paragraph 7 (b) of the Moot Proposition are to be treated
as allegations only for the purposes of the CCG’s proceedings and are subject to the CCG’s
adjudication.
17. As per the information available in Paragraph 9, are Macrosoft and Froogle Genovian
companies or are they based in Panem/Karistan?
Response:
Please refer to the response to Query 6.
18. At the time of Vijeta’s entry in the document editing software market Macrosoft and
Froogle had market shares of 45% and 31% respectively. Was this market share specifically
for the document editing software market?
Response:

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 Yes. The market share of Macrosoft and Froogle are for the document editing software
market only.
19. What were Macrosoft’s and Froogle’s market shares after 6 months of Vijeta's entry?
Response:
The market shares of Macrosoft and Froogle took a significant hit within 6 months of
Vijeta’s entry.
20. What was Vijeta's share in the smartphone market?
Response:
Vijeta’s share in the smartphone market is insignificant. However, Vijeta’s market share
has been rising at a rapid pace due to which the incumbent players in the market have
suffered significant losses.
21. Was the cost price of Vijeta's products lower than the selling price?
Response:
The cost price of Vijeta’s smart phones was lower than the selling price. The cost price of
Vijeta’s software was higher than the selling price which resulted in Vijeta suffering losses
for the initial 6 months after entering the market.
22. Were the consumers, before purchasing Vijeta’s products, aware of the fact that the after
sales services for Vijeta's products were expensive?
Response:
As is standard business practice, Vijeta provides its terms and conditions in relation usage,
warranty and insurance as part of the product package. This information is available in the
product description of Vijeta’s products on online e-commerce sites as well.
23. Were the consumers, before purchasing Vijeta’s products, aware of the fact that Vijeta
voids warranty in cases where the products have been used along with non-Mango branded
accessories?
Response:
Please refer to the response to Query 22. Vijeta provides the terms and conditions in
relation to usage, warranty, and insurance along with its products.
24. Can “Offix” Apps be installed and subscribed to on devices manufactured by other
companies such as Macrosoft and Froogle?
Response:
Yes, “Offix” can be installed and subscribed to on devices manufactured by other
companies as well.

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25. Can the Mango smartphone users delete the pre-installed applications and download
alternative ones?
Response:
No, Mango smartphone users cannot delete the pre-installed applications including
“Offix”. It is also clarified that users are also not required to pay or subscribe to pre-
installed subscription-based applications on Mango smartphones. At the same, the users
can also download alternative applications.
26. Does the statute (through which Vijeta was formed) provide any power to DOTD to give
any kind of instructions to Vijeta?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
27. What is the market position of Frapple and other panemese smartphones?
Response:
Frapple and other Panemese smartphones have been present in the Genovian market for
the last 10 years. On a consolidated basis, Panemese smartphones control the majority of
the smartphones market in Genovia.
28. The market shares of Macrosoft and Froogle provided in the problem are for document
editing tools only or all kinds of applications included under Offix?
Response:
Yes. The market shares provided in the moot Proposition is only for document editing
software market and not for any other market.
29. Whether the other smartphone manufacturers put their own in-built apps or of other
developers like Macrosoft and Froogle?
Response:
Yes, the other phone manufacturers such as Frapple also provide pre-installed applications
on their respective smartphones, which comprises their own in-house developed apps as
well as apps of other developers in their smartphones.
30. Can the users of other smartphones also access and use Offix applications?
Response:
Yes, the users of other smartphones can also access and use Offix applications.
31. Is Vijeta still manufacturing Frapple phones?
Response:
Please refer to the response to Query 1.

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32. What do the 'pre-installed software and applications' include, just offix or other
applications also, if yes, are these applications made by Vijeta only or some other
developer?
Response:
The pre-installed software and applications are a mixed bag of Offix applications and other
applications. It includes applications manufactured by Vijeta as well as by other developers.
33. Other utility applications like Macrosoft and Froogle are free or paid?
Response:
The utility applications provided by Macrosoft and Froogle comprise both free as well as
paid applications.
34. What do 'parts and accessories' include? Do the parts mention in para 7(b) same as those
in para 7(c)?
Response:
The term 'parts and accessories' mentioned in paragraph 7(b) is same as referred to in
paragraph 7(c). Additionally, ‘parts and accessories’ here mean the general understanding
in relation to smartphones’ parts and accessories.
35. What do 'suggested apps' include?
Response:
When a new Mango phone is switched on and the Operating Software (“OS”) is launched
for the first time by a user, various applications are recommended by the OS to the user.
Such applications are called suggested apps.
36. The 'authorized dealers' in para 7(c) refers to franchisees and multi brand outlets or others?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
37. Genovian applications shown in suggested apps are created by Vijeta or other developers?
Response:
Suggested apps on Mango smartphones include apps developed by Vijeta and certain other
developers.
38. What are the 'certain goods' as mentioned in para 4 does it include Panemese smartphones?
Response:
Yes. The term 'certain goods' mentioned in paragraph 4 of Moot Proposition includes
Panemese smartphones.
39. Are the tariffs imposed on import of smartphones from other countries too?
Response:

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 No. The tariff is imposed on import of certain goods from Panem, due to the trade war
between Panem and Genovia. It is clarified that these tariffs are pursuant to policy
objectives of the Genovian Government.
40. What is the shifting cost from Mango smartphone to any other brand?
Response:
The shifting cost from Mango smartphone to any other brand is same as the shifting cost
between any 2 competing smartphones in the market.
41. What are the warranty obligations provided by Mango?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
42. Whether or not there are other made in Genovia smartphones other than mango at present
in market?
Response:
Yes, there are several other domestic Genovian players present in the market.
43. What is the market share of "Vijeta" in smartphones market?
Response:
Please refer to the response to Query 20.
44. Are there other participants in the given market?
Response:
Yes.
45. Are market share and subscription base same concepts and are to be used synonymously?
(Mentioned in Paragraph 9 of the Proposition)
Response:
Yes, the parameter to identify market share in the document editing software market is
based on the number of subscribers of the document editing softwares.
46. Did the functions of DOTD only involve formulation of schemes and policies or were
they carrying any other economic venture also? (Mentioned in Paragraph 5 of the
Proposition)
Response:
Information provided in the Moot Proposition is sufficient in this regard.
47. How long did Vijeta continue to work under MNC Frapple? (Mentioned in Paragraph 5
of the Proposition)
Response:
Please refer to the response to Query 1.

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48. Did Vijeta set up any other brands apart from Mango products? (Mentioned in Paragraph
7 of the Proposition)
Response:
Yes. As mentioned in paragraph 6 of the Moot Proposition, Vijeta has a variety of utility
and productivity applications, such as Offix.
49. What was the financial status of other Mango products besides Mango smartphones?
(Mentioned in Paragraph 5 of the Proposition)
Response:
Information provided in the Moot Proposition is sufficient in this regard.
50. Did the omni-channel system of distribution of Mango include online platforms for
distribution as well? (Mentioned in Paragraph 7 of the Proposition)
Response:
Yes. However, a retailer can sell on online platforms only after obtaining the authorisation
and quality check certificate from Vijeta.
51. Did the agreements between Vijeta and dealers comprise any pre-intimation clause with
respect to dealing with other generic brands? (Mentioned in Paragraph 7 of the
Proposition)
Response:
Information provided in the Moot Proposition is sufficient in this regard.
52. How long did the promotion scheme introduced in July, 2019 last for? (Mentioned in
Paragraph 9 of the Proposition)
Response:
Please refer to the response to Query 15.
53. What all products come within the ambit of accessories? (Mentioned in Paragraph 7e of
the Proposition)
Response:
Please refer to the response to Query 34.
54. Did the paid subscription mandatorily follow one month free trial period or did the
consumers have the option of backing out? (Mentioned in Paragraph 6 of the Proposition)
Response:
No. Please refer to the response to Query 14.
55. Whether Mango smartphone is the only Genovian made phone?
Response:
No.

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56. Is Offix the only Genovian based app?
Response:
No. There are other Genovian based app developers also present in the market.
57. 32% market share (para 9) was it from the beginning or after the announcement of the
promotion scheme?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
58. Whether 32% markets share is of all the applications offered by Offix or only of document
editing tools?
Response:
The market share provided in the Moot Proposition is only pertaining to document editing
software market. Please refer to the response to Query 14.
59. What is the period of warranty provided for Mango smartphones?
Response:
The query is not relevant for the purpose of the Moot Proposition.
60. Whether Mango has manufactured a single line of product which competes with both high-
end smartphone and Panemese smartphones or it has manufactured two types of product
one to compete with high-end smartphones and second to compete with Panemese
products?
Response:
Mango products are high end smartphones designed to compete with high end flagship
models of other manufacturers, but they are priced significantly lower (as they are
domestically manufactured) than such flagship phones of other manufacturers.
61. Whether import duty was increased on Panemese smartphones?
Response:
Please refer to the response to Query 39. Additionally, information provided in the Moot
Proposition is sufficient in this regard.
62. Is DOTD established under a statute?
Response:
DOTD is a department set up under Genovian Ministry of Electronics and Information
Technology. Information provided in the Moot Proposition is sufficient in this regard.
63. Whether Macrosoft and Froogle are market leaders in document editing software or in the
entire smartphone application sector
Response:

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 Please refer to the response to Query 18.
64. Is it possible to remove Offix from phones?
Response:
Please refer to the response to Query 25.
65. Para 8- "However, representatives of Vijeta rubbished these claims, stating in multiple
interviews that such incidents came to their notice only on the report of an employee'.
"Such incidents" indicate what all incidents?
Response:
Information provided in the Moot Proposition is sufficient in this regard.
66. For what period of duration were Offix apps given for free- 12 months or 1 months? In
para 7(d) which states while there are authorised dealers of vijeta which sells parts and
accessories for mango phones, does this imply that ONLY the authorised dealers are
allowed to sell parts and accessories and NOT independent dealers.
Response:
Please refer to the response to Queries 14 and 15.
Yes, only authorised dealers of Vijeta are allowed to sell parts and accessories for Mango
smartphones and not the other independent dealers.
67. In para 7(e) it has been stated that similar to vijeta’s action against retailers discussed in
sub- para (a) but no such actions are mentioned in sub- para (a). Please clarify.
Response:
In Paragraph 7(e) of the Moot Proposition the phrase “[…] Further, similar to Vijeta’s
actions against retailers discussed in sub-paragraph (a) above,…”, should be read as “[…]
Further, similar to Vijeta’s actions against retailers discussed in sub-paragraph (b)
above,…”
68. What is the Market Share of Vijeta in the primary market (Brick and Mortar stores i.e.
Mango Tree, where the sale takes place) of smartphones?
Response:
Please refer to the response to Query 20.
69. What is the Market Share of Vijeta in the Aftermarket (After-sale services) of
Smartphones?
Response:
Although Vijeta requires its smartphone users to use its exclusive after sale services,
however, the market share of Vijeta in overall after sale services market is insignificant.

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70. What is the Market Share of the other competitors (like Froogle and Macrosoft) in the
Primary Market & the Aftermarket of Smartphones in Genovia?
Response:
Froogle and Macrosoft do not manufacture or sell smartphones or any smartphone parts
/ accessories.
71. Does the provision of the 12-month Offix subscription plan increase the cost of the phone
by a margin where the market competitive price of a Mango phone unit becomes less than
the total cost of the unit?
Response:
No, the 12-month plan is an independently sold product and has no bearing on the price
of Mango smartphones.
72. Is daily beagle a non-partisan news source?
Response:
The query is not relevant for the purpose of the Moot Proposition.
73. What is the authenticity of the ‘media reports’ mentioned in para 7(b) of the proposition?
Response:
Please refer to the response to Query 16.
74. What is the authenticity of the article published by the daily beagle newspaper against
Vijeta’s practices?
Response:
Please refer to the response to Query 16.
75. What is the availability of Mango Tree stores to the general public? (Rural population,
number of stores, etc.)
Response:
Given that Vijeta is a recent entrant in the market for smartphones, the Mango Tree stores
were initially only launched in Tier 1 Genovian cities but have been expanding to Tier 2
and Tier 3 Genovian cities. However, it is clarified that other manufacturers who have
been present in Genovia for the last 10 years have a significantly larger footprint than
Vijeta in terms of their retail stores across the country.
76. What is the market share of Vijeta in the mobile market?
Response:
Please refer to the response to Query 20.

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