The Federal High Court in Abuja has dismissed a lawsuit filed by MultiChoice Nigeria, the parent company of DStv and GOtv, challenging the Federal Government through Federal Competition and Consumer Protection Commission’s (FCCPC) intervention in its recent subscription fee increase.
Justice James Omotosho, who delivered the judgment, ruled that the suit was an abuse of court process, pointing out that similar legal proceedings on the matter were already pending before another court.
In his ruling, Omotosho clarified that while the FCCPC has statutory powers to investigate consumer protection issues, it does not have the legal authority to fix or suspend prices without express delegation from the President through a gazetted directive.
“The power to fix prices is exclusively that of the President. Any decision taken without such delegation is a nullity,” he stated on Thursday during proceedings.
He further emphasized that Nigeria operates a free-market economy where service providers such as MultiChoice are entitled to set prices based on market realities, and consumers retain the right to accept or reject those services.
The judge also found that the FCCPC’s order directing MultiChoice to suspend its price hike infringed on the company’s right to a fair hearing and was discriminatory. He rejected the Commission’s argument that MultiChoice holds a dominant market position, describing the claim as baseless. “The use of services like those provided by the plaintiff is discretionary and not essential. Nigeria can do without it,” Omotosho added.
The ruling included a cautionary note that overreaching regulatory controls on pricing could discourage investment and have negative consequences for the Nigerian economy.
The legal dispute followed MultiChoice’s decision to increase its subscription rates by up to 25% on March 1, 2025, citing inflation and rising operational costs. In response, the FCCPC opposed the move, demanded a rollback, and threatened sanctions, prompting MultiChoice to seek judicial intervention.
The court’s decision reinforces the boundaries of regulatory authority in Nigeria’s consumer protection landscape and affirms the rights of companies to operate within the framework of a market-driven economy.