After the Supreme Court of Pakistan dismissed the appeal, Options International paid a PKR 6 million penalty to the national treasury as mandated by Section 40(8) of the Competition Act 2010, according to a statement from the Competition Commission of Pakistan (CCP).
This Supreme Court decision concludes a lengthy legal battle that began with Starbucks lodging a formal complaint, prompting an investigation and subsequent enforcement action by the CCP. In June 2024, the Competition Appellate Tribunal (CAT) not only dismissed Options International’s appeal but also increased the initial penalty from Rs 5 million to Rs 6 million. Moreover, the company was prohibited from unlawfully using the Starbucks brand name and logo.
Options International then took their case to the Supreme Court of Pakistan, which upheld the CAT’s ruling. The Supreme Court concluded that Options International engaged in deceptive marketing by selling products under the Starbucks brand name and using its logo.
Since new management took over, the CCP has successfully recovered fines totaling Rs 38 million, showcasing significant strides in combating cartel behavior.