Indian Journal for Research in Law and Management

Advancing Law and Management

ISSN No. : 2583-9896

ALGORITHMIC COLLUSION AND THE LIMITS OF SECTION 3 OF THE COMPETITION ACT, 2002: RETHINKING ‘AGREEMENT’ IN THE AGE OF AUTONOMOUS PRICING

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Ishika Gurjar (2026). ALGORITHMIC COLLUSION AND THE LIMITS OF SECTION 3 OF THE COMPETITION ACT, 2002: RETHINKING ‘AGREEMENT’ IN THE AGE OF AUTONOMOUS PRICING. The Indian Journal for Research in Law and Management, Volume III(Issue 11). Retrieved from https://ijrlm.com/journal/algorithmic-collusion-and-the-limits-of-section-3-of-the-competition-act-2002-rethinking-agreement-in-the-age-of-autonomous-pricing/

Abstract

Section 3 of the Competition Act, 2002 prohibits anti-competitive agreements, but its core requirement of a “meeting of minds” sits uneasily with pricing algorithms that can produce cartel-like outcomes without any human communication at all. This paper examines the Supreme Court's decision in Samir Agrawal v. Competition Commission of India, arguing that it settles only a narrow, single-platform fact pattern and leaves genuinely untested the harder case of independent competing platforms whose algorithms learn to track each other's prices. Drawing on the American plus-factors doctrine and the European Union's shift toward ex-ante regulation, the paper proposes a two-track Indian response: a doctrinal clarification of concerted practice for provable algorithmic monitoring, and a narrowly targeted ex-ante framework, along the lines of the proposed Digital Competition Bill, for the small set of platforms capable of sustaining purely autonomous coordination.

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