Future Retail Says Amazon Argument Order Not Binding on its Deal with Reliance

India’s Future Retail has said recently that a Singapore authority’s order in its dispute with Amazon is not constitutional or permissible under Indian law and not binding on Amazon.

Amazon won an injunction from the arbitrator to stop Future Retail’s deal to sell its retail assets to Reliance for 3.4 billion dollars, quarreling that Reliance had dishonored certain pre-existing agreements it had with Amazon.

Both Future Retail and Reliance have said in news releases later that they wanted to press on with the deal with no delays, setting the stage for a confrontation between the Indian firms and Amazon.

The Future Retail told Indian exchanges that any attempt on the part of the popular e-commerce website, Amazon to implement the order, will be resisted.

 

Image from Reliance

 

Future Retail’s filing arrives it was reported that the e-commerce giant had separately grumbled to India’s markets regulator claiming that Reliance had misled shareholders by inaccurately saying it was obeying with its predetermined obligations, asking for a postponement of the deal’s regulatory review.

The Future Retail has also said that it had fulfilled all regulatory necessities and advised the market regulator and the ISEs to continue to review its deal with Reliance for consent.
The dispute centers around Future Retail’s verdict in August to sell its retail, wholesale, and some other businesses to the Indian company, Reliance for 3.38 billion dollars even including debt.
Amazon has argued that a distinct 2019 deal it had with a Future unit had sections saying that Reliance couldn’t sell its retail assets to anyone on a “restricted persons” list counting any companies from Reliance’s group.

The deal stated any disagreements would be adjudicated under Singapore International Arbitration Centre rules.