Multichoice Nigeria, the operator of DStv and GOtv pay-TV services, is locked in a legal battle with the Competition and Consumer Protection Tribunal in Abuja over a restraining order against increasing subscription prices.
On April 29th, the tribunal issued an interim order restraining Multichoice from hiking the prices of its DStv and GOtv packages, which were scheduled to take effect on May 1st. However, Multichoice has now challenged the tribunal’s jurisdiction to issue such an order.
Multichoice’s lawyer, Moyosore Onigbanjo, filed an application on April 30th questioning the tribunal’s authority to make the restraining order. He argued that a similar price dispute case had previously been decided in Multichoice’s favor.
During the court proceedings on May 7th, Onigbanjo urged the tribunal to decline jurisdiction over the suit filed by Festus Onifade, the lawyer who dragged Multichoice before the tribunal. Onigbanjo insisted that the issue of jurisdiction must be addressed first when it is raised.
Meanwhile, Onifade has instituted contempt charges against the manager of Multichoice’s Abuja office, Mohammed Sani, for allegedly disobeying the court order. Onifade claimed that despite being served with the restraining order on April 29th, Multichoice deliberately neglected the order and increased its tariffs on May 1st.
In a motion filed on May 7th, Onifade sought an order directing Multichoice to pay N1 billion (or an amount deemed appropriate by the tribunal) for deliberately disobeying and failing to comply with the interim order granted on April 29th.
Onifade further alleged that Multichoice has a history of disobeying court and tribunal orders, citing instances in 2015, 2018, and 2022 when the company allegedly increased prices despite restraining orders.
The tribunal has adjourned the matter until May 16th for a hearing on the jurisdictional challenge raised by Multichoice’s lawyer and Onifade’s contempt charges.
This legal tussle highlights the ongoing tensions between consumer interests and the pricing strategies of pay-TV operators in Nigeria. It remains to be seen how the tribunal will rule on the jurisdictional issue and whether Multichoice will face any consequences for allegedly disobeying the interim restraining order.
Reference
Multichoice challenges tribunal’s jurisdiction over price hike restraining order published in Punch