Short answer: In India, the Competition Commission of India (CCI) found in its order of 19 October 2022 that MakeMyTrip-Goibibo (MMT-Go) abused a dominant position through wide price and availability parity combined with exclusivity, and directed MMT-Go to remove these obligations. So MMT-Go can no longer stop a hotel from offering a lower rate on other OTAs. Parity with the hotel's own website (narrow parity) was not removed: CCI said it may be justifiable. Your own OTA contract and any later changes still matter, so read it before you change prices.
The case
- Case: Case No. 14 of 2019 (FHRAI and Casa2 Stays v. MakeMyTrip, Ibibo and OYO), with Case No. 01 of 2020 (Rubtub Solutions v. MMT and others).
- Order date: 19 October 2022, under section 27 of the Competition Act, 2002.
- Primary source: CCI order page https://www.cci.gov.in/antitrust/orders/details/1069/0 and PDF https://www.cci.gov.in/images/antitrustorder/en/odrer1666182873.pdf
What CCI found
- MMT-Go was dominant in the market for online intermediation services for hotel booking in India.
- CCI set out the harm from parity clauses in paras 250 to 264.
- Para 265: narrow parity (limited to the hotel's own website) "may be justifiable" to stop free riding. Wide parity (covering all channels) is not.
- Para 266: MMT-Go's wide parity, together with exclusivity, breached sections 4(2)(a)(i) and 4(2)(c).
- Para 311: the MMT-Go and OYO arrangement breached section 3(4)(d) read with section 3(1), over the arrangement that led to delisting of its competitors (FabHotels and Treebo).
- Para 312(a) directs MMT-Go to remove price and room availability parity with respect to other OTAs. Para 312(b) directs removal of exclusivity.
- Penalties: ₹223.48 crore on MMT-Go (para 319) and ₹168.88 crore on OYO (para 320).
- Appeal: OYO (Comp. App. (AT) 55/2022) and MMT (Comp. App. (AT) 57/2022) appealed to NCLAT. The appeals were admitted on a 10% penalty deposit with the rest of the penalty stayed. The directions were not stayed. OYO's appeal was still listed before NCLAT in January 2026: https://nclat.nic.in/sites/default/files/2026-01/Causelist_IV_28.01.2026.pdf
What this means for your property
- Read your current OTA contract for parity, "lowest available rate", "rate integrity" clauses.
- As a general caution, watch whether a channel's visibility for your listing changes after you change rates, and keep records.
- Decide your direct-booking offer: a lower rate, breakfast, late checkout or a flexible cancellation.
- Keep OTA and direct rates consistent with your own plan, so guests aren't confused.
This is general information, not legal advice. Check with a lawyer for your specific contract.
From BitLegacy: a direct booking website is the channel where you set your own rate. BitLegacy gives each property a guest booking website: https://www.bitlegacy.in/blog/hotel-custom-domain-booking-website and see https://www.bitlegacy.in/blog/airbnb-commission-vs-direct-bookings-india-hosts
Frequently asked questions
Can a hotel in India charge less on its own website than on OTAs?
Not always. CCI's 2022 order (para 312(a)) directed MMT-Go to remove price and room availability parity with respect to other OTAs. It noted narrow parity, which covers your own website, may be justifiable (para 265), so check your OTA contract before pricing lower direct.
What is rate parity?
A rule that a hotel's price on one channel must not be higher than its price on other channels, including its own website.
What is wide vs narrow parity?
Wide parity covers all channels. Narrow parity is limited to the hotel's own website. CCI said narrow parity may be justifiable to prevent free riding, but wide parity is not (para 265).
Which case was it?
CCI Case No. 14 of 2019 with Case No. 01 of 2020, order dated 19 October 2022.
Does the order cover OYO?
Yes. CCI found the MMT-Go and OYO delisting arrangement breached section 3(4)(d) read with 3(1) (para 311) and imposed a ₹168.88 crore penalty (para 320). Its appeal was pending at NCLAT as of January 2026.
What should I do if an OTA asks for parity?
Note it in writing and take legal advice. This post is general information, not legal advice.
About the author
Managing Director, BitLegacy Solutions LLP
Captainjeet Kaur leads BitLegacy Solutions LLP, the team behind BitLegacy Hotels — hotel management software for independent Indian hotels — and writes about running and growing hotels with simple, practical technology.
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