Amazon.com Inc., which won interim relief against Future group in a Singapore court, is likely to move an Indian high court by next week to enforce the verdict if Future declines to pursue arbitration proceedings in the city-state, two people aware of the development said.
Amazon and Future have a week’s time to mutually agree on whether to continue with the arbitration proceedings at the Singapore International Arbitration Centre failing which, a long-winding legal tussle between both sides is likely, the people said seeking anonymity.The Singapore court restrained Future from selling its assets to Reliance Industries Ltd (RIL) on Sunday. The dispute between the two parties relates to Future’s sale of its retail, wholesale and warehousing assets to Mukesh Ambani’s RIL for Rs24,713 crore. Amazon, which owns a 5% indirect stake in Future Retail Ltd, has contested the sale in the Singapore court, claiming that its 2019 investment agreement bars Future group from selling its assets to RIL. “It has to be decided within seven days whether both parties wish to continue with SIAC proceedings and wait for its final judgement,” one of the two people said.
“If Future agrees with SIAC’s interim ruling and pauses the RIL deal, both Amazon and Future can mutually decide on the members of the arbitration panel, continue the hearings at SIAC and wait for the judgement.” If Future is unwilling to reopen talks with Amazon for bringing in a new partner or investor, the next option for Amazon could be approaching an Indian court, the person added. Amazon is currently exploring which jurisdiction to approach.
{{/usCountry}}“If Future agrees with SIAC’s interim ruling and pauses the RIL deal, both Amazon and Future can mutually decide on the members of the arbitration panel, continue the hearings at SIAC and wait for the judgement.” If Future is unwilling to reopen talks with Amazon for bringing in a new partner or investor, the next option for Amazon could be approaching an Indian court, the person added. Amazon is currently exploring which jurisdiction to approach.
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