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JFTC renders a recommendation to J-PHONE Co., Ltd. about restriction on price indication by distributors

July 28/2003
Japan Fair Trade Commission

The JFTC, having conducted an investigation into J-PHONE Co., Ltd. (hereinafter called "J-PHONE"), today issued a recommendation to the company as described below determining that violation of Section 19 (Article 13 of the Designation of Unfair Trade Practices: "dealing on restrictive terms") of the Antimonopoly Act existed.

 1. Company concerned
J-PHONE Co., Ltd. (Minato-ku, Tokyo)
Business: first-class telecommunications carrier (mobile communications service and ancillary business)

2. Outline of violation
J-PHONE had made its agencies and retailers (through the agencies) display in shops and on leaflets "reference price" or "assumed price" which J-PHONE designated as guides of selling prices to consumers regarding new and popular models of J-PHONE branded mobile phones with camera which were sold to consumers who newly sign on for mobile phone service in Kanto Koushin district (the area of Prefectures Ibaraki, Tochigi, Gunma, Saitama, Chiba,Tokyo, Kanagawa, Yamanashi and Nagano).

 3. Outline of elimination measures

(1) J-PHONE shall confirm that it ceased the acts above 2
(2)J-PHONE shall notify the agents, retailers and consumers of measures which were taken according to above 3 (1) and of prevention of recurring the same kind of acts as the above2 in the future.
(3) J-PHONE shall not act the same kind of acts as the above2 in the future.

4. Due date of acceptance of the recommendation

August 11, 2003
(The JFTC will issue a decision with same content as the recommendation if accepted; or initiate hearing procedures.)

*Every announcement is tentative translation. Please refer to the original text written in Japanese.



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