Amazon scored a massive win on Friday as the Supreme Court pronounced verdict in favour of the e-commerce giant by stating that Singapore's Emergency Arbitrator (EA) award, restraining the Rs 24,731 crore merger deal of Future Retail Ltd (FRL) with Reliance Retail, was valid and enforceable under Indian laws.
Despite the fact that the term Emergency Arbitration (EA) is not found in arbitration laws of the country, a bench of Justices R F Nariman held that an award of an EA of a foreign country is enforceable under the Indian Arbitration and Conciliation Act.
“The EA Order is an order within section 17 (1) and can be enforced under Section 17(2) of the Arbitration and Conciliation Act,” it said.
Amazon.com NV Investment Holdings LLC and FRL are embroiled in a bitter legal fight over the deal and the US-based firm has sought in the apex court that the EA award was valid and enforceable.
(With PTI Inputs)