SC reserves verdict on Amazon’s appeal against the Delhi HC order to stall Future-Reliance deal
31st July 2021, Mumbai:
The Supreme Court has reserved its verdict on Amazon's appeal against the Delhi High Court order which had allowed the Rs 27,513 crore Future Retail-Reliance Group deal to proceed.
However, the court has allowed NCLT's proceedings to continue. The verdict of these proceedings will determine the fate of the Emergency Arbitrator's order, passed in a foreign arbitration.
Future Retail maintains that the Code of Civil Procedure governs execution of an arbitral award while Amazon claims that the issue falls under the ambit of the Arbitration Act.
Amazon's appeal claimed that Future Retail's proposed deal with the Reliance Group is in fundamental violation of the core understanding of Amazon’s investments with the Future Group.
Amazon submitted that it had invested Rs 1,431 crore with Future Coupons in 2019 with the understanding that Future Retail won't transfer or sell its retail assets to "restricted persons", including the Reliance Group, without Amazon's consent.
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