The National Company Law Tribunal (NCLT) today adjourned the hearing of the contempt plea filed against fast food major McDonald's Corporation and its Indian arm by estranged Indian partner Vikram Bakshi.
During the proceedings, counsel appearing for McDonald's informed that the Delhi High Court would on October 25 hear a petition in which it has challenged the show cause notice for contempt issued by the tribunal.
Following this, a NCLT bench headed by Chairman Justice MM Kumar adjourned the matter to November 7 for the next hearing.
MIPL, a subsidiary of McDonald's Corporation had filed a writ petition before the High Court questioning the validity of the contempt notice issued by the NCLT against it.
On September 5, NCLT had issued show-cause notice to fast food major McDonald's Corporation and McDonald's India Pvt Ltd (MIPL) over the contempt plea filed by Bakshi.
He had alleged that by terminating it licence the US- based food giant has violated the NCLT order dated July 13 which reinstated him as the Managing Director of CPRL and also refrained McDonald's Corporation to interfere in the functioning of CPRL.
Counsel for both sides submitted that they would try to complete their arguments before the high court on October 25.
The tribunal also directed the parties to file their replies based on the outcome of the high court order.
In August, the food chain had terminated the franchise licence of 169 outlets run by Bakshi in north and east India which led to a legal battle between the parties.
While Bakshi challenged the termination terming it as illegal, McDonalds' alleged breach of contract terms and payment default by Bakshi.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)