The case has its origins in a complaint by the Avalon Group alleging that Old Mutual Properties had abused its dominant position and engaged in a vertical restrictive practice in contravention of the Competition Act when it awarded Ster Kinekor the lease to operate the cinema complex in the Gateway Shopping Centre in Umhlanga Rocks.

In June 2002, the Competition Tribunal made two procedural decisions in this case which are subject to review before the Competition Appeal Court.

The first point of review is the Tribunal's decision requiring Old Mutual and Ster Kinekor to produce the lease agreement between them for inspection (ie discovery).

Old Mutual contends that the lease agreement is not subject to discovery because it was concluded after the complaint proceedings were initiated, and the Tribunal therefore would not have the jurisdiction to declare it void.

The second issue under review is the Tribunal decision not to grant the request of Old Mutual to hear and decide certain technical points of law prior to hearing the competition issues.

These relate, inter alia, to the proper definitions of the terms "firm" and "exclusionary act".

The review application will be heard by Judges Jali, Hussein and Malan.

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