38.6c New Delhi, India, Wednesday, April 17, 2024
Legal Insiders

Amazon Still Thinks It’s Living During the Time of The East India Company: Harish Salve Before Delhi High Court

By Richa Shah      17 November, 2020 02:39 PM      0 Comments
Amazon Harish Salve Delhi HC

Senior Advocate Harish Salve said to the Delhi High Court during the hearing of the Future Retail suit against American giant Amazon that it ( the latter) still thinks that it is living during the time of The East India Company.

Future Retail had filed a suit against Amazon to prevent it from interfering in its deal with Reliance after a stay order was passed on it by the Emergency Arbitrator of the Singapore International Arbitration Centre (SIAC).

Amazon is an investor in one of the shareholders of Future Retail and had moved the Emergency Arbitrator on the ground that Reliance fell in the negative list of 30 entities with which Future Group could not transact.

The argument was placed before the bench which consisted of a single judge: Justice Mukta Gupta. It was reiterated by Senior Advocate Harish Salve that the order of the Emergency Arbitrator was of no value.

He said, "I am subject to Indian courts. If a gentleman sitting in Singapore says something, I can bin that order. It is not to show any disrespect. I'm saying that as a matter of law."

He said that Amazon had no say in the affairs of Future Coupons as Amazon only held shares in Future Coupons (FCPL) and said that Amazon was not even a minority shareholder in FRL. How could there be rights conferred upon him?

Amazon's assertion was strongly rejected by Salve. He said that its consent to the transaction was necessary and in case Amazon had a grievance, it should be raised against the promoters i.e. the Biyanis, and not FRL. He said that Amazon has arrogance, but don't have any contractual rights.

Defending the transaction with Reliance, Salve stated that the directors of FRL have a fiduciary duty towards its shareholders. The August Board Resolution was passed to save FRL, which is sinking, he submitted.

The suit was not maintainable as per Amazon in view of the existence of an arbitration clause.

Contending that the three relevant agreements - the FRL Shareholding Agreement (SHA), the FCPL SHA, and the Share Subscription Agreement were on the same platter, Amazon, through Senior Advocate Gopal Subramanium, had asserted that the "ship of arbitration" in the present case has already sailed.

The Emergency Arbitrator was defended by Amazon on the ground that the Rules of the SIAC were embedded in the arbitration agreement between it and the Future Group.

Share this article:

Leave a feedback about this

Trending Judiciary
Baba Ramdev, Acharya Balkrishna offer to make public apology in SC for misleading advertisements

Baba Ramdev and Acharya Balkrishna offer public apology in SC for misleading ads, court deliberates acceptance.

16 April, 2024 01:57 PM
Trending Judiciary
Non-tear of the hymen is of no consequence in cases of penetrative sexual assault: Guwahati HC in POCSO case [Read Judgment]

Hymen tear or genital injuries are not a sine qua non to prove penetrative sexual assault, the Guwahati High Court has held in a case under the POCSO Act, 2012.

16 April, 2024 05:06 PM


Trending Business
SC sets aside judgment upholding arbitral award against DMRC [Read Judgment]

Supreme Court overturns arbitral award favoring Reliance Infrastructure subsidiary against DMRC, citing grave miscarriage of justice.

11 April, 2024 11:43 AM
Trending Political NEWS
Delhi HC rejects third plea for Arvind Kejriwal's removal as Delhi CM, blasts petitioner for abuse of judicial process [Read Judgment]

Delhi High Court dismisses the third PIL plea before it seeking Aam Aadmi Party leader Arvind Kejriwal’s removal as Chief Minister of Delhi, imposes Rs. 50,000 cost on petitioner.

11 April, 2024 03:29 PM
Trending Judiciary
Use of social media to interfere with administration of justice needs serious consideration: SC [Read Judgment]

Supreme Court warns against social media misuse in legal matters, cautions against prejudicial posts interfering with justice.

11 April, 2024 05:44 PM
Trending Legal Insiders
Two-day conference on April 13-14 on Technology and Dialogue between SC and Singapore

Explore AI's role in law at the India-Singapore Supreme Court conference on technology, enhancing judicial processes and access to justice, April 13-14, 2024.

12 April, 2024 06:16 PM


Join Group

Signup for Our Newsletter

Get Exclusive access to members only content by email