The Delhi High Court has handed down judgment, upholding the enforcement of a foreign arbitral award that directed a complete buy-out of a shareholder’s stake in a deadlocked joint venture.

The ruling is significant, signalling that Indian courts will protect their contractual rights and will not permit use of the public policy or non-arbitrability arguments to evade obligations in a derailed joint venture. Arbitration can resolve disputes that can be framed as breaches of contract, knowing that buy-outs will be enforced.

Gaurav M. Liberhan, associate Member at Maitland, represented the Petitioner.

Case citation: OMP [COMM] 88 of 2020 & OMP (EFA) (COMM) 3/2018.