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Bombay High Court

Trenton Investments Co. Pv. Ltd. And ... vs Norma Group Asia Pacific Holding Pte. ... on 18 September, 2019

Author: G. S. Kulkarni

Bench: G. S. Kulkarni

                                                                   924 CARBPL 1050 OF 2019


vks
              IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                   ORDINARY ORIGINAL CIVIL JURISDICTION

         COMMERCIAL ARBITRATION PETITION (L) NO.1050 OF 2019

Trenton Investments Co.Pvt. Ltd
and anr                                               ...       Petitioners
            V/s.
Norma Group Asia Pacific Holding Pvt.
Ltd and ors                                           ...       Respondents

Mr. Mustafa Doctor, Senior Advocate a/w Gaurav Mehta,
Chakrani Misra, Shobhana Naryan, Manvendra Mishra i/by
Khaitan & Co., for the Petitioner.
Mr. Mayur Khandeparkar a/w Ms. Anshika Misra,Ms.
Anushka Shah i/by AZB Partners, for respondent No.1.
Mr. Rupesh D. Sohoni, for respondent No.2.


                         CORAM : G. S. KULKARNI, J.
                         DATE    : 18th September, 2019.

P.C. :

1]       Heard learned counsel for the parties. I have perused the averments

as made in the petition. Learned counsel for the respondents has drawn my attention to clause No.18.6 of the Escrow Agreement dated 2 nd July, 2018, which reads thus :-

"18.6 Notwithstanding anything to the contrary, the parties agree that Escrow Account shall be opened only for a period of eighteen (18) months from the date of SPA (or such other shorter or longer period which RBI may prescribe in writing from time to time) and shall be liable to be terminated 1/2 ::: Uploaded on - 20/09/2019 ::: Downloaded on - 20/09/2019 21:08:57 ::: 924 CARBPL 1050 OF 2019 unilaterally by the Escrow Agent at the end of eighteen (18) months from the date of the SPA. If the Parties fail to close the same, irrespective of whether the underlying transaction has been completed. The clients agree that, in case no instructions are received by the Escrow Agent from the Clients 3(three) Business days before the last day of the said 18 th months from the SPA (i.e. October 01, 2019), then the Escrow Agent may transfer the Funds to the Buyer's Account, and close the Escrow Account on the last day of the said 18 th months from the date of SPA (i.e. October 05, 2019). The Buyer and/or Seller, agree to provide Escrow Agent all the required documents (e.g. Form A2, Cert.15 CA/Cert.15 CB etc) required for the transfer of Funds in terms of this Clause 18.6 on or before October 01, 2019. Further Escrow Agent shall not be liable for any consequences on account of closure of Escrow Account under the present clause".

2] Having noted above clause, in my opinion, this is not fit case wherein ad-interim relief can be granted. The petitioner cannot ask for a relief contrary to what the petitioner agreed in the clause No.18.6 of the Escrow Account.

3] Ad-interim relief, accordingly stands rejected. 4] Respondent to file reply within six weeks. 5] The petition be listed as per C.M.I.S. date.

[G. S. KULKARNI, J] 2/2 ::: Uploaded on - 20/09/2019 ::: Downloaded on - 20/09/2019 21:08:57 :::