NCLAT reserves order on Meta, WhatsApp petitions on data-sharing

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An NCLAT bench, comprising Chairperson Justice Ashok Bhushan and Member (Technical) Arun Baroka, has directed the parties to record  written submissions by October 6 [File]

An NCLAT bench, comprising Chairperson Justice Ashok Bhushan and Member (Technical) Arun Baroka, has directed the parties to record written submissions by October 6 [File] | Photo Credit: REUTERS

The appellate tribunal NCLAT has completed proceeding and reserved its bid connected the appeals filed by Meta Platforms and WhatsApp, challenging the CCI's punishment connected the societal media large for the 2021 WhatsApp privateness argumentation update.

An NCLAT bench, comprising Chairperson Justice Ashok Bhushan and Member (Technical) Arun Baroka, has directed the parties to record written submissions by October 6.

"All the parties to record concise notes of submissions of not much than 10 pages by October 6, 2025," said the seat connected Thursday, portion reserving its judgment.

The National Company Law Appellate Tribunal (NCLAT) was proceeding the petition by the tech elephantine Meta, which challenged a punishment of ₹213.14 crore connected the societal media large for unfair concern practices with respect to the WhatsApp privateness argumentation update done successful 2021.

Senior Counsel Arun Kathpalia and Amit Sibbal person completed their submissions successful the rejoinder implicit arguments by the Senior Advocate Balbir Singh appearing for the Competition Commission of India (CCI) earlier the NCLAT, an appellate authorization implicit the orders passed by the just commercialized regulator.

In November past year, CCI imposed a punishment of ₹213.14 crore connected societal media large Meta with respect to the WhatsApp privateness argumentation update done successful 2021.

Meta Platforms and WhatsApp had challenged this bid earlier the NCLAT, which, successful January this year, passed an interim order, staying the five-year prohibition imposed by the just commercialized regulator connected data-sharing practices betwixt WhatsApp and Meta for advertizing purposes, offering a breather to the tech giant.

Kathpalia, successful his rejoinder implicit CCI's arguments connected Thursday, submitted that the just commercialized regulator’s strategy has been to repetition the aforesaid inaccuracies.

He submitted that CCI made respective inaccurate statements, for instance, the 2021 Privacy Policy overrode the opt-out provided to users successful 2016. Moreover, the just commercialized regulator claimed that the five-year prohibition was a tenable play which would let "competition to revive".

However, nary specified reasoning is contiguous successful the order, helium added.

While Sibal, representing Meta, argued that CCI did not code astir of his arguments made during the archetypal proceeding and besides presented a database of the aforesaid to the appellate tribunal.

According to Sibal, CCI’s arguments that it does not request to find Meta ascendant successful the alleged marketplace for online show advertisements to amusement that determination was a denial of marketplace entree successful this marketplace are legally untenable and based connected an incorrect speechmaking of Supreme Court judgements.

CCI continues to disregard that constricted information is shared by WhatsApp with Meta, helium added.

CCI's counsel Balbir Singh, portion opposing the petitions by the societal media platforms, had submitted that WhatsApp had abused its presumption by imposing the 2021 privateness argumentation connected a "take it oregon permission it" basis.

Moreover, helium besides rejected that CCI has nary jurisdiction successful this contented arsenic the substance was related to information extortion and said it is related to a larger nationalist involvement and comes nether the domain of the just commercialized regulator. Singh submitted that contention instrumentality and information extortion instrumentality service complementary roles.

In its 156-page-long order, CCI had connected November 18, 2024, directed Meta to cease and desist from anti-competitive practices.

According to a CCI order, Meta and WhatsApp person besides been asked to instrumentality definite behavioural remedies wrong a defined timeline to code the anti-competition issues.

The regulator has called for implementing assorted remedial measures, including barring WhatsApp from sharing information collected connected its level with different Meta companies oregon Meta institution products for advertizing purposes for 5 years.

Among different directions, CCI has said that sharing of idiosyncratic information collected connected WhatsApp with different Meta companies oregon Meta institution products for purposes different than providing WhatsApp services shall not beryllium made a information for users to entree WhatsApp services successful India.

Published - September 29, 2025 11:17 americium IST

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