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Competition and Consumer Protection Court have reinforced a fine of $ 220 million imposed on a meta platform established by Federal Competition and the Nigerian Consumer Protection Commission (FCCPC), marks a major victory for the enforcement of consumer rights in the country.
Announced the court’s decision in a statement on Friday, the Director of Corporate Affairs of the FCCPC, Ondaje Ijagwu, said the verdict reiterated the authority of the commission under Nigeria’s law and his compliance with the proper process. The court also gave an additional $ 35,000 to FCCPC to cover the investigation costs.
The judgment was delivered by the panel of three members led by Hon. Thomas Okosun, who rejected Meta and WhatsApp appeal who challenged the legal basis, procedures, and findings of the commission investigation of their business practices.
According to Ijagwu, the court concluded that FCCPC “acts within the limits of the 1999 constitution (as amended)” and carry out its legal mandate correctly. It was found that the conclusion of the commission about meta and discriminatory and exploitative practices of WhatsApp for Nigerian consumers was supported by evidence and in line with the existing legal framework.
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This decision followed a 38 -month comprehensive investigation which was launched in 2020 by FCCPC in collaboration with the Nigerian Data Protection Commission (NDPC). The investigation focuses on data privacy policies, user approval practices, and the potential for anti-competitive behavior of the meta platform, especially WhatsApp.
In July 2024, FCCPC issued a final order to impose an administrative sentence of $ 220 million on Meta and WhatsApp. Not satisfied with the results, the company appealed, quoting concerns over a fair session and commission jurisdiction, especially in fields involving data protection.
However, the court rejected most of the main arguments of the appeal. Especially:
- In a fair hearing problem, the court decided that Meta and WhatsApp were given an adequate opportunity to submit their cases, and that FCCPC had issued the obligations of quasi-judicial in full compliance with legal processes.
- In the power of data protection, the court confirmed that FCCPC acts in its legal authority based on section 104 of the federal competition and consumer protection law (FCCPA), and can intervene in the regulated sector when needed to protect consumers.
- Regarding Meta’s privacy policy, the court found no mistake in the commission’s conclusion that the policy violated Nigerian law.
While most of the problems were resolved for the sake of FCCPC, the court indeed overrides one of the 13 orders contained in the Final Order of the Commission, Order 7, citing inadequate legal justification.
Reacted to the decision, deputy chairman and CEO of FCCPC executive, Mr. Tunji Bello, described the decision as an important moment for consumer protection in Nigeria. He praised the commission’s legal team for their perseverance and reaffirmed the commitment of the agency to uphold fair business practices and protect the interests of Nigerian consumers.
“This decision confirms our role as the defender of the frontlines of consumer rights,” Bello said. “This also strengthens the message that even the largest company in the world must operate in law when dealing with Nigerian citizens.”
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