Japan FTC Asks Court to Block Rakuten's Free Delivery Plan

Society Politics

Tokyo, Feb. 28 (Jiji Press)--Japan's Fair Trade Commission on Friday sought an emergency court order to block Rakuten Inc.'s <4755> plan to make delivery services free of charge for certain purchases on its online shopping site.

The antitrust watchdog made the filing with Tokyo District Court under the antimonopoly law, seeking such an order for the first time in 16 years.

The FTC is investigating Rakuten for alleged abuse of its superior bargaining position in violation of the law. Rakuten plans to launch the free-of-charge delivery program March 18.

The court will hear opinions from both the FTC and Rakuten. It may issue an order to block the program before it starts.

The law allows a court to order a suspension of actions that are suspected of violating the law at the FTC's request if it recognizes an urgent necessity.

[Copyright The Jiji Press, Ltd.]

Jiji Press