NEW DELHI: The feud between two of the world's richest men, Amazon's Jeff Bezos and Reliance's Mukesh Ambani came in favor of Amazon as India's top court gave a judgment in favor of e-commerce giant Amazon.com Inc in a case where it sold $3.4 billion of its partner Future Group's retail assets to rival Demand to stop Reliance Industries.
The Bench of Justices Rohinton Fali Nariman and BR Gavai held that the order of an emergency arbitrator is enforceable in India, under Section 17(2) of the Arbitration Act.
"We have framed two questions and answered them as Emergency Arbitrator's award holds good and can be enforced under Section 17(2). The appeal is allowed," Justice Nariman said reading out the judgment, according to law platform Bar & Bench.
It is to be mentioned here that, Amazon and Future are locked in a legal battle over the Future Group deal, with the US firm accusing the Indian conglomerate of breaching pre-existing contracts when it sold its assets to Reliance.
This decision from the Apex Court has sent a very positive signal to international players and foreign companies reaffirming that their rights would be protected in India under Indian law and as such would have a long-term impact on future investment deals and investors.
Earlier, Amazon submitted in the top court that Biyanis of Future Group had negotiated with it to enter into certain agreements and emphasized that EA's award was enforceable. The e-commerce giant insisted FRL is bound by Singapore's EA award, which restrained it from going ahead with its merger deal with Reliance Retail.
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