Telcel must compensate Totalplay and AT&T for monopolistic practices in voice calls

Radiomóvil Dipsa, the controlling company of the Telcel brand, must financially compensate its competitors Totalplay and AT&T for monopolistic practices in the telecommunications market that occurred between 2006 and 2012, resolved the Supreme Court of Justice of the Nation (SCJN) after dismissing a appeal from Telcel.

The foregoing, after the First Chamber of the SCJN declared as unfounded an appeal by Telcel filed in file 850/2019 against a first determination of the Seventh Collegiate Court in Civil Matters of the First Circuit based in Mexico City , which originally refused to protect that company from the sanction imposed by the now defunct Federal Competition Commission (CFC) for monopolistic practices.

The trial against the CFC’s decision ended in 2018, but Telcel filed a claim with the Supreme Court of Justice of the Nation, an authority that denied Telcel the reason.

A decade ago, the CFC imposed a sanction of 11,989 million pesos on Telcel for monopolistic practices in the interconnection business due to the termination of calls.

This is the highest fine in the history of telecommunications in Mexico for monopolistic practices and after finding the complaints of Totalplay and Iusacell, a brand absorbed by AT&T in 2015.

However, the Supreme Court of Justice of the Nation determined that it will be the Fourth District Court in Civil Matters as the authority that will adjust the amount of compensation that Telcel will pay to its competitors and as long as that company can demonstrate that it did undertake measures to favor competition in the telecommunications market.

Now, it will be the Fourth District Court in Civil Matters that must argue and establish the amount of compensation for the monopolistic practices that occurred and can be demonstrated between June 29, 2006 and April 30, 2012.