Published on: Saturday, February 06, 2021
By: Bernama
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PUTRAJAYA: The collaboration agreement (CA) between Malaysia Airlines (MAS) and AirAsia Berhad on sharing local air transport services has caused consumers to suffer from “less choice and higher ticket prices”, the Court of Appeal was told Friday.
Counsel Datuk Lim Chee Wee, who acted for Malaysia Competition Commission (MyCC), submitted that this was because the CA executed between MAS and AirAsia on Aug 9, 2011 had changed their position from competitors to collaborators.
“Essentially, both air carriers have infringed Section 4 of the Competition Act 2010 that bans market sharing. Consumers suffered due to that because they had less choice on which airlines they wanted to fly and have to pay higher ticket prices,” said Lim, adding that there was prima facie evidence that both air carriers breached laws governing market competition over a 2011 decision to share flight routes.