Supreme Court to vet EA’s Future Retail verdict
The Supreme Court on Tuesday said it would decide whether Singapore’s Emergency Arbitrator (EA) award, restraining Future Retail Ltd (FRL) from going ahead with its merger deal with Reliance Retail, was valid under Indian law and if it can be enforced.
US-based e-commerce giant Amazon.com NV Investment Holdings LLC and FRL are embroiled in a bitter legal fight over FRL’s Rs 24,713 crore merger deal with Reliance Retail.
“We will decide whether EA award falls under section 17 (1) (which deals with interim award by arbitral tribunal) of the Arbitration and Conciliation Act. And if yes, then whether it can be enforced under section 17 (2) (of the Act),” said a bench comprising justices R F Nariman and B.R. Gavai.
The provisions of the Act deal with the interim measures ordered by an arbitral tribunal and section 17 (1) says: “Unless otherwise agreed by the parties, the arbitral tribunal may, at the request of a party, order a party to take any interim measure of protection as the arbitral tribunal may consider necessary in respect of the subject-matter of the dispute.”
Status quo in Kirloskar case
The Supreme Court Tuesday ordered status quo in the Kirloskar Brothers Ltd family feud related to assets wherein KBL’s CMD Sanjay Kirloskar has challenged the Bombay High Court order directing arbitration in the case.
The apex court’s status quo will also extend to the proceedings in the Pune civil court on KBL seeking damages for violation of the family deed. Asking the parties involved in the case to explore the possibility of mediation, a bench comprising Chief Justice N.V. Ramana and Justice Surya Kant issued notice on the appeal by Sanjay Kirloskar and asked them to file replies within six weeks.