Johannesburg - The Competition Tribunal said on Monday that it had
granted JSE-listed airline group 1time Holdings
[JSE:1TM] leave to amend its original complaint
against rival Kulula.
In
terms of the amendment, 1time wants Kulula to be fined for anti-competitive
behaviour.
In
the original complaint, 1time alleged that Lanseria, which owns Lanseria Airport, and
Kulula concluded an exclusivity agreement that
contravened
competition rules.
The
agreement between Lanseria and Kulula involves the operation of scheduled airline
services to and from the Lanseria Airport.
The original complaint by 1time reached the tribunal in April 2009.
The original agreement between Kulula and Lanseria - concluded in 2006 and ending in
February 2011 - contains an exclusivity clause in favour of Kulula for the first
year of the agreement, which expired in early 2007.
A
right of first refusal vests in Kulula and it can agree or refuse to allow other airlines
to fly scheduled flights from Lanseria.
In
terms of the amendment of the original complaint, 1time sought the imposition of a
penalty on Kulula.
Kulula opposed the amendment application on two main grounds, namely lack of jurisdiction
and failure to disclose a cause of action.
- I-Net Bridge