Medical software and switching company Digital Healthcare Solutions DHS is seeking to negotiate a settlement of its dispute with the Competition Commission.
The Competition Tribunal, which is the highest authority on mergers next to the Appeal Court, recently upheld the commission`s notice of apparent breach of its merger conditions.
The ruling relates to the merger with QEDI in 2001.
The group says it has delivered a letter to the commission to the effect that it will seek to negotiate a settlement of the dispute.
DHS CE Hennie du Plessis says the group decided on negotiation despite unhappiness with "certain fundamentals of the tribunal`s decision".
DHS chairman Peter Watt, who is also CE of DHS shareholder Comparex Africa, says the board did consider seriously an appeal to the Competition Appeal Court.
However, he says, "the directors agreed that the healthcare industry needed solutions, not another prolonged legal battle. The DHS board is confident that the commission will facilitate a solution to level the playing field."
When the commission approved the QEDI merger in 2001, it said one of the conditions was that DHS move to lessen its dominance in the switching arena by making efforts to make its software available on reasonable terms to companies requesting it.
As far back as August 2001, rival HealthBridge accused DHS of anti-competitive practices and later complained to the commission.
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