Un-amended (Indian) Arbitration Act would continue to apply to challenge and enforcement proceedings concerning awards delivered in arbitrations commenced prior to the amendment. The party challenging such an arbitral award is therefore entitled to an automatic stay on its enforcement without deposit of any money in the court, in keeping with the position prior to the amendment.
In furtherance of its commitment to clean energy, India has undertaken the largest renewable energy capacity expansion programme in the world through initiation of various schemes, programmes and policy measures during the last 2 years.
According to the Ministry of New and Renewable Energy (“MNRE”), a capacity addition of 14.30 GW of renewable energy was reported during the last 2½ years under grid connected systems – 5.8 GW from solar, 7.04 GW from wind, 0.53 GW from (small) hydro and 0.93 GW from bio-power. A total of 7.52 GW of grid-connected power generation capacity from renewable energy sources has been added so far this year (January 2016 to October 2016) as stated below:
MEDIATION AND CONCILIATION UNDER THE NEW COMPANIES ACT
I. Dispute Resolution under the Companies Act, 2013
The Companies Act, 2013 (“CA 2013”) attempts to modernise the way companies in India are owned and operated, in sync with the practices across the world. In the same spirit, the CA 2013 makes it possible for parties in a dispute before government administrators (such as Regional Director, Registrar of Companies, etc.) or the tribunals formed under the CA 2013, i.e. National Company Law Tribunal or the National Company Law Appellate Tribunal, to request for the dispute to be referred to mediation or conciliation. The process of mediation and conciliation is to be conducted before experts empanelled with the mediation and conciliation panel (“Panel”) under the CA 2013.
“The parents construct the child biologically, while the child constructs the parents socially.”
Law Commission of India, Report No. 228, August 2009
Surrogacy, understood universally, as also defined in the Indian National Guidelines for regulation of IVF clinics (“National Guidelines”), means:
“an arrangement in which a woman agrees to carry a pregnancy that is genetically unrelated to her and her husband, with the intention to carry it to term and hand over the child to the genetic parents for whom she is acting as a surrogate”.
Execution of valid contracts is a prerequisite to creation of any legally binding rights and obligations among the executing parties. However, before moving on to detailed definitive contract(s), parties often enter into a letter of intent so as to agree and specify upfront the key terms of the proposed transaction. The idea is to identify and address any major commercial issues between the parties, and at the same time demonstrate their commitment to the transaction.
What then is the legal effect of a letter of intent? Executed at a pre-contractual stage, is it a legally binding document or is it only a means to capture and reflect the intention of the parties on the basic structure of the transaction?
The Supreme Court of India (“Supreme Court”) has recently laid down in Bunga Daniel Babu v. M/s Sri Vasudeva Constructions (“Case”) that a land owner (“Appellant”) who entered into a Memorandum of Understanding (“MoU”) with a builder (“Respondent”) for development of his land by construction of a multi-story building, will be deemed to be a consumer within the definition of Section 2(1)(d) of the Consumer Protection Act, 1986 (“CPA”) despite the rider inserted by the amendment in 2002 thereto whereby the definition of consumer was amended to exclude from its purview any person who avails services for any commercial purpose.
Taxability of income arising out of sale and purchase transactions undertaken internationally has been a matter of debate for long in India. Foreign collaborators and investors have been strongly campaigning for clarity on their tax liabilities under Indian tax regulations for transactions undertaken outside the taxable territories of India.
1.1. Deferment of payments in share purchase transactions between non-resident buyers and resident sellers till recently required prior approval of the Reserve Bank of India (“RBI”) under Regulation 10 of the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000 (“FEMA Transfer Regulations”).
1.2. Further, authorized dealer banks in India were allowed to open escrow accounts towards payment of share purchase consideration (subject to various terms and conditions specified by RBI), but the escrow account could only be operational for a limited period of 6 months.1 In all other cases of opening/maintaining of escrow accounts for FDI related transactions, prior approval from the RBI was necessary.
The Arbitration and Conciliation (Amendment) Act of 2015 seems to be an optimistic leap towards making India an investor friendly state.
1.1. The Foreign Direct Investment (“FDI”) policy has been in a state of flux since last year, with sweeping changes being brought in with respect to FDI vis-à-vis various sectors. One such sector has been the ‘manufacturing sector’ which was defined and elaborated upon in the FDI policy, vide Press Note No. 12 of 2015 (dated November 24, 2015), last year (“Press Note 2015”).