After Supreme Court upheld e-commerce giant Amazon’s plea seeking a hold on the Rs 24,731 crore deal between Reliance Retail and Future Retail, the latter has said the judgement addresses two limited points related to the enforceability of the Emergency Arbitrator’s order and not the merits of the disputes. It said it'll pursue all available avenues to conclude the deal to protect the interests of its stakeholders and workforce.
"The full copy of the judgement is awaited. FRL is advised that it has remedies available in law, which it will exercise," Future Retail said in a statement to the exchanges.
FRL said the SC judgement covers a limited point and that the main dispute is still ongoing before the arbitration tribunal. The company statement said the arbitral tribunal has concluded hearings on two questions -- whether the interim award of the emergency arbitrator should continue and whether FRL is at all a party in the Arbitration proceedings. "The decision of Arbitral Tribunal is awaited," said the company.
The Supreme Court's two-judge bench of Justices RF Nariman and BR Gavai today said that the Singaporean arbitrator’s decision that stalled the deal between the two retail giants holds merit and Amazon’s objections are valid as well as applicable in the country.
Amazon had argued that the arbitrator’s order is binding, while Future had argued it was not. Both sides agreed to use the Singapore arbitrator in case of disputes when they entered into a $200-million deal in 2019.
Jeff Bezos’ Amazon and Mukesh Ambani’s Reliance Industries have been involved in a tussle since the latter signed a deal to acquire Future’s assets. Amazon has accused Future of violating pre-existing clauses that give them the right of first refusal. Future has denied wrongdoing.
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