CMDA receives fourth petition from Samsung

In a recent development in the case between Samsung and Delhi-based Computer

Media Dealers' Association (CMDA), will be replying to the petition filed by

Samsung by the end of this month. It may be recalled that the association had

sent a legal notice to the company to withdraw its notice against the channel

partners on the issue of parallel import.

This is the fourth petition that Samsung has sent to CMDA in reply to two

petitions filed by the association. Since the matter is sub judice, CMDA

officials refused to comment on the matter.

On the condition of anonymity, one of the CMDA members informed that the

association is against counterfeit products but global companies like Samsung

should not misguide customers in the name of parallel import.

“Samsung should have a problem only when the customers do not get warranty on

the products purchased from a channel partner, no matter whether it is imported

by Samsung or a dealer. Rather, it should be documented in their policy that

customers should get warranty on Samsung products from the point of purchase. It

should be the responsibility of the dealer to provide warranty to the customers,

no matter whether he has imported it on his own or purchased from Samsung,”

informed the source.

An executive member of the association informed that CMDA would stick to its

statement and send a reply on the same grounds as they had mentioned earlier.

The CMDA member further mentioned that according to Samsung, channel partners

are not allowed to import products from any other country even if it is not

counterfeit or the dealer is providing service to the end customers.

In an earlier reply to the petition filed by Samsung, CMDA had mentioned that

if a product is listed under Open General License (OGL), then its import is

permitted by any person or firm and there is no violation of act if dealers

import the products on their own.

With the objective to seek a solution on the issue of parallel imports raised

by Samsung, CMDA had taken the matter to Monopolistic and Restrictive Trade

Practices (MRTP) Commission two years back. During the first hearing, CMDA had

demanded that Samsung withdraw its 'educational alert' on parallel import on the

ground that such activities imply monopolistic trade practice by the vendor.

When asked for a clarification on the issue of parallel imports Ranjit Yadav,

Director-IT Division, Samsung India said, "If the product carries international

warranty then there is no problem for the partner and customer. But if the

product does not have an international warranty, then that's where the problem

arises."