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Amazon Vs Future Retail: Future Group Files New Petition In Supreme Court

The date of hearing of the petition isn't known yet.

A hammer and a gavel (Source: <a href="http://www.freepik.com/awesomecontent">Freepik</a>)
A hammer and a gavel (Source: Freepik)

Future Retail Ltd. has challenged in the Supreme Court an order by the Delhi High Court that agreed to hear the company’s petition challenging an arbitral tribunal's ruling but declined to grant an interim stay on it.

The court had, on Oct. 29, declined to state that regulatory agencies can continue with procedural steps for the approval of the Rs 27,513-crore transaction between Future Retail and Reliance Retail Ltd.

Further, as per information available to us, FCPL and the Promoters have also filed an appeal before the Hon’ble Supreme Court of India being SLP (Diary) No. 26818 of 2021.
Regulatory filing by Future Retail Ltd.

Specific aspects of the court order that are being challenged isn't known yet, as is the petition's date of hearing.

The Supreme Court had in September asked regulatory authorities, including the Securities and Exchange Board of India and the Competition Commission of India, from passing any final order on the scheme of amalgamation for the transaction.

In October 2020, a Singapore-based emergency arbitrator had ordered status quo on the transaction between Reliance and Future Retail.

The emergency arbitrator's order was last month upheld by the arbitral tribunal.

Subsequently, Future Retail challenged the arbitral tribunal's order at the Delhi High Court.

Amazon Vs Future: The Story So Far…..

In October last year, an emergency arbitrator granted an interim award in favour of Amazon. The emergency arbitrator was set up as part of the arbitration dispute between Future Coupons Pvt. and Amazon.com NV Investment Holdings LLC.

In 2019, Amazon had invested in Future Group entities—acquiring a 49% stake in Future Coupons—promoter entity of Future Retail.

At the time, Future Coupons and Future Retail had also entered into a shareholder agreement. The tribunal's order which has been appealed by Future Retail was the outcome of pre-arbitration hearings that took place in July this year.

The arbitral tribunal, which will hear the main dispute between the two companies, declined to vacate the emergency arbitrator’s order earlier this month. The tribunal also held Future Retail to be a party to the main dispute between Future Coupons and Amazon. The application seeking the vacation of the emergency arbitrator’s order was filed by Future Group.

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