Apple Canada ordered to turn over documents in anti-competition investigation

AppleWe first learned about Canada’s Competition Bureau investigation into alleged anti-competition practices by Apple Canada last week. It focuses on allegations that Apple’s contracts with Canada’s wireless carriers include anti-competitive clauses. The Globe and Mail today reports that the Federal Court of Canada will order Apple Canada to turn over relevant documentation to the competition watchdog. The order should be signed today by Federal Court Chief Justice Paul Crampton.

The Competition Bureau believes that Apple’s terms may have resulted in higher retail prices for both devices and cellular service in general due to clauses limiting carriers’ ability to offer incentives on competing devices or service plans.

Apple will have 90 days to turn over all relevant documentation. This will include the agreements signed with carriers. But it may not do so without a fight. Competition Bureau lawyer Derek Leschinsky suggests that Apple may launch a constitutional challenge against the order. He added that similar challenges in the past have failed and that the provision allowing Canadian courts to compel the turn over of documents held outside of Canad has never been found to be unconstitutional.

None of the allegations have yet to be proven.

Source : The Globe and Mail