Section 48B explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 48B of the Competition Act, 2002 is a new section inserted by the Competition (Amendment) Act, 2023. It allows an enterprise facing an inquiry for a vertical agreement under Section 3(4) or an abuse of dominant position under Section 4 to offer commitments about the alleged conduct early in the case, after the Commission's Section 26(1) order and before it receives the Director General's report.
An enterprise under inquiry for contravening Section 3(4) or Section 4 may offer commitments after the order under Section 26(1) and within a time, set by regulations, before it receives the Director General's report. The Commission looks at the nature, gravity and impact of the alleged contraventions and at how effective the proposed commitments are, hears objections, and either accepts or rejects. No appeal lies under Section 53B.
How this article reads the Act
This article follows the consolidated text of the Act published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023. Section 48B has no counterpart in the consolidated text; it is written from the section inserted by clause 35 of the amending Act. The gazette does not print a chapter heading for it; read it as placed after Section 48A. The 2023 change applies from the date notified for that provision; the notification is not in the sources consulted and should be checked. No commencement date is given. A company thinking of offering commitments can talk the options through with our legal dispute resolution team.
Section 48B(1): the offer
"Any enterprise, against whom any inquiry has been initiated under sub-section (1) of section 26 for contravention of sub-section (4) of section 3 or section 4, as the case may be, may submit an application in writing to the Commission, in such form and on payment of such fee as may be specified by regulations, offering commitments in respect of the alleged contraventions stated in the Commission's order under sub-section (1) of section 26."
The commitments must relate to "the alleged contraventions stated in the Commission's order under sub-section (1) of section 26". That order is the prima facie order starting the investigation; see Section 26. The definition of "commitment" in Section 2 is in our article on the Section 2 definitions.
Section 48B(2): the window
"An offer for commitments under sub-section (1) may be submitted at any time after an order under sub-section (1) of section 26 has been passed by the Commission but within such time prior to the receipt by the party of the report of the Director General under sub-section (4) of section 26 as may be specified by regulations." The gazette text says "prior to the receipt by the party of the report"; the window therefore closes by reference to the party's receipt of the report, within a period the regulations fix.
Section 48B(3): acceptance
"The Commission may, after taking into consideration the nature, gravity and impact of the alleged contraventions and effectiveness of the proposed commitments, accept the commitments offered on such terms and the manner of implementation and monitoring as may be specified by regulations." Unlike settlement, the sub-section does not speak of a payment; it speaks of terms, implementation and monitoring. Whether regulations add any payment is a question for the 2024 Commitment Regulations; see our overview of the Commitment Regulations.
Section 48B(4) to (7): objections, rejection, procedure, no appeal
- (4) "While considering the proposal for commitment, the Commission shall provide an opportunity to the party concerned, the Director General, or any other party to submit their objections and suggestions, if any."
- (5) If the Commission thinks the commitment is "not appropriate in the circumstances" or the Commission and the party do not reach agreement on the terms, "it shall pass an order rejecting the commitment application and proceed with its inquiry under section 26 of the Act".
- (6) "The procedure for commitments offered under this section shall be such as may be specified by regulations."
- (7) "No appeal shall lie under section 53B against any order passed by the Commission under this section." See Section 53B.
Revocation of a commitment order, with legal costs of up to rupees one crore, is in Section 48C: Sections 47 and 48C.
Settlement and commitment compared
The table is built only from Sections 48A and 48B as inserted by the Competition (Amendment) Act, 2023.
| Point | Settlement, Section 48A | Commitment, Section 48B |
|---|---|---|
| Who may apply | An enterprise under an inquiry under Section 26(1) for Section 3(4) or Section 4 | The same |
| Earliest time | After receipt of the Director General's report under Section 26(4) | After the order under Section 26(1) |
| Latest time | Before an order under Section 27 or 28, at a time specified by regulations | Within a time specified by regulations before the party receives the Director General's report |
| What the Commission weighs | Nature, gravity and impact of the contraventions | Nature, gravity and impact of the alleged contraventions and effectiveness of the proposed commitments |
| Outcome if agreed | Payment of an amount or other terms, implementation and monitoring, as specified by regulations | Terms, implementation and monitoring, as specified by regulations |
| Objections | Must be invited from the party concerned, the Director General or any other party | The same |
| If not appropriate | Order rejecting; inquiry under Section 26 resumes | Order rejecting; inquiry under Section 26 resumes |
| Appeal | None under Section 53B | None under Section 53B |
| Money | Settlement amounts to the Consolidated Fund of India | Section 48B has no such sub-section |
What the 2023 Amendment Act changed
Section 48B is new, so there is no earlier wording to quote. The consolidated text of the Act had no commitment procedure; the new section adds one, together with the definition in Section 2. Everything above is the text as inserted.
Practical example
Sundar Cloud Services Ltd (invented), a dominant provider in a regional market, is the subject of a Section 26(1) order on alleged discriminatory terms for resellers. Before it receives the Director General's report it offers to change its reseller terms and to report to the Commission on implementation. The Commission invites objections from the informant and the Director General, weighs how effective the changes would be, and either accepts them on terms for implementation and monitoring or rejects the offer and continues the inquiry. Sundar Cloud cannot appeal the outcome under Section 53B.
Need help with a commitment offer?
The timing is tight because the window closes before the Director General's report reaches the party. Our legal dispute resolution team can look at the order, draft proposals the Commission can monitor and prepare for objections. For a wider view of the process, see CCI powers and procedure.
Key takeaways
- Commitments are available only in inquiries into Section 3(4) or Section 4.
- The offer comes after the Section 26(1) order and within a time, fixed by regulations, before the Director General's report is received by the party.
- The Commission weighs effectiveness of the commitments, must invite objections and may accept or reject.
- No appeal lies under Section 53B.
- The regulations fix the form, fee, time and procedure.
Read next
- Section 48A of the Competition Act, 2002: settlement of proceedings
- Sections 47 and 48C of the Competition Act, 2002: crediting of penalties and revocation
- Commitment applications under the CCI Commitment Regulations, 2024
- Abuse of dominant position under Section 4
Disclaimer: Based on the consolidated text of the Competition Act, 2002 published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023, and on the regulations and guidelines of the Commission as notified in 2024, as consulted on 2 October 2026. Commencement notifications, notified thresholds, rules and later amendments should be checked. This article is general information, not legal advice; check the official text before acting.