Mr. Justice C.M. Nayar, Chairman—The Director General (Investigation and Registration) has filed an application under Section 10(1)(iii) of the Act wherein it is contended that the respondent is a company registered under the Companies Act, 1956 which is inter alia engaged in the business of manufacturing, bottling and sale of beverages under the brand name of Coca Cola, Fanta, Gold Spot, Limca, Thumpsup, Citra, Kismet, Bisleri Club Soda, etc. The subject matter of the present proceedings relates to Clause-3 of the Dealership Agreement which reads as below :

“The wholesale dealer agrees to keep for sale only the products manufactured by the company and shall not keep or store any other similar goods for sale. The wholesale dealer further agrees not to create any sub dealer unless authorised by the company.”

2. It has been alleged in the DG’s application that in terms of this clause the dealer is prevented from taking up business activity relating to any other similar beverages except those manufactured by the respondent and is thus prevented to deal with the similar products of competitors which restricts competition and is a deemed restrictive trade practice within the meaning