The National Company Law Appellate Tribunal today refused to pass any interim order on estranged partner Vikram Bakshi's plea against termination of McDonald's.
The National Company Law Appellate Tribunal today refused to pass any interim order on estranged partner Vikram Bakshi’s plea against termination of franchise licence agreement by US-based fast food chain McDonald’s. This means the fate of 169 McDonald’s stores in north and east India hangs by a thread as CPRL’s licence to operate the outlets lapsed on September 5.
An NCLAT bench headed by Justice S J Mukhopadhyaya has issued a direction to list on September 21 Bakshi’s licence termination petition along with the original one filed by McDonald’s. Bakshi had yesterday approached the National Company Law Appellate Tribunal (NCLAT) to stay the termination of franchise licence agreement by McDonald’s for 169 stores operated by their joint venture Connaught Plaza Restaurant Ltd (CPRL).
CPRL is a 50:50 JV between McDonald’s and Bakshi. McDonald’s on August 21 terminated franchisee agreement for the outlets in question operated by CPRL. As part of the termination, CPRL cannot use McDonald’s name, system, trademark, designs and its associated intellectual property, among others, from September 5.