Google vs. App Developers - Madras High Court Refuses To Intervene In The Terms Of Google's Play Billing System On Technical Grounds

Introduction

In a significant legal development, the division bench of the Madras High Court (MHC) rendered its decision on 19th January 2024, upholding the judgment pronounced by the single bench on 3rd August 2023. The single bench's ruling asserted that the civil court lacks jurisdiction when disputes regarding the terms, clauses, and payment/billing arrangements between parties and Google ("Respondent") are already under examination and awaiting resolution before the Competition Commission of India ("CCI"). Notably, the CCI had also previously issued a comprehensive order on the matter, wherein Google agreed to change its App Store policy.

The MHC decision underscores the fundamental principle that issues pertaining to specialized legislation i.e. Competition Act, 2002 ("the Act of 2002") and the Payment and Settlement Systems Act, 2007 ("the PSS Act, 2007") must be adjudicated by the specialized authorities such as the CCI and the Reserve Bank of India