The high court in New Delhi asked McDonald’s India Pvt Ltd on Friday to reply to the plea of Vikram Bakshi, ousted managing director of Connaught Plaza Restaurants, which runs the fast-food chain in northern and eastern India, for a stay on foreign arbitration of their dispute.
On Wednesday, Bakshi had moved the HC for a stay on the arbitration proceedings initiated by MIPL in a foreign tribunal.
The next hearing is on April 17; MIPL has a week to reply.
Bakshi had moved the application under Section 9 of the Conciliation and Arbitration Act, dealing with foreign arbitration and foreign tribunals.
He’d argued McDonald’s defied Indian jurisdiction by approaching the London Court of International Arbitration when the case was before the Company Law Board in New Delhi.
Bakshi had earlier nominated former Delhi HC judge J K Mehra to represent his side in the arbitral panel.
He has also offered to buy the US food major’s 50 per cent equity stake in their joint venture, Connaught Plaza Restaurants, at its net asset value. It was incorporated in 1995.
Image: Bikram Bakshi (Inset)
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