The National Company Law Appellate Tribunal (NCLAT) has asked US fast food giant McDonald’s and its estranged Indian JV partner Vikram Bakshi to consider settling their dispute among themselves.
According to a PTI report: Putting off the matter for next hearing to August 30, the tribunal asked McDonald’s to give an undertaking that the 169 outlets will be allowed to function till the negotiations are on.
The parties will have to decide by August 30 whether they will consider settling the dispute or not.
McDonald’s has terminated franchisee agreement for the 169 outlets in north and east that were operated by Connaught Plaza Restaurant Ltd (CPRL), the joint venture (JV) with Bakshi’s firm.
According to the termination notice issued by McDonald’s to CPRL, the outlets have time till September 6 to function, post which they will have to stop using McDonald’s name and trademark.
The tribunal also asked Bakshi to give an undertaking that he would not pursue the criminal cases filed in India against McDonald’s executives when they come for negotiations.