With the London Court of International Arbitration giving its decision on Wednesday in Vikram Bakshi’s dispute with McDonald’s India, the estranged Indian partner said that he was considering the implication of the “partial award” as well as his legal options.
In a statement, Bakshi said: “We are considering the partial award given by the Tribunal, its implications as well as our legal options. We have a stinging verdict in the final judgment of the NCLT of July 13, 2017, that speaks for itself.”
Without giving specifics about the award by the Tribunal, he added: “CPRL (Connaught Plaza Restaurants Ltd) is a company and business that was established, grown and run by thousands of Indian employees, suppliers, landlords and their business associates. We look to the rule of law to protect and safeguard theirs and our investment. We stand ready to collaborate with anyone to achieve a positive outcome for all stakeholders. ”
According to reports, the London Court of International Arbitration has said that a panel of independent experts should be appointed to determine the fair market value of the CPRL, a JV between Bakshi and McDonald’s India. It has also stated that Bakshi should sell his stake to McDonald’s.
Terming the proceedings as confidential, a spokesperson for McDonald’s on Wednesday had stated: “We are pleased with the decision in what has been a protracted legal dispute with a former partner. Our intention now is to take the appropriate steps to enforce the award, which we believe is right for the business and our customers.”
The decision of the arbitration proceedings comes after McDonald’s India has served a franchise agreement termination notice to CPRL.
The ongoing disputes between the two partners is currently before the National Company Law Appellate Tribunal (NCLAT) in India, with the next hearing scheduled for September 21.