NCLT asks McDonald's to file reply in 10 days on contempt plea

NEW DELHI: The National Company Law Tribunal (NCLT) has directed McDonald's India to file a reply within 10 days over the contempt plea moved by its estranged Indian partner Vikram Bakshi.

While listing the matter for next hearing on October 23, the tribunal has also granted Bakshi a week's time to file a rejoinder. Bakshi had filed a contempt petition alleging that termination of the licence by 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 from interfering with the functioning of CPRL.

"Reply to the contempt petition to be filed within 10 days with a copy in advance to the counsel for the petitioners," said an NCLT bench headed by Chairman Justice MM Kumar. Earlier, on September 5 NCLT had issued a show-cause notice to fast food major McDonald's Corporation and its Indian arm over the contempt plea filed by Bakshi.

The tribunal had directed McDonald's Corporation, MIPL and other respondents to reply to the "notice to show cause" by September 20. Bakshi has been at loggerheads with the fast food chain over the management of CPRL after he was ousted from the post of MD of the McDonald's franchisee in August 2013.

McDonald's India had asked CPRL not to use its brand system, trademark, designs and its associated intellectual property, among others, within 15 days of the termination notice which gets over on September 6.

However, Bakshi continues to operate the outlets saying he won't down the shutters till the time the entire CPRL board meets to decide the future course of action. He has also demanded buyout of his stake at a fair market valuation. Bakshi had moved the NCLT following termination of license by McDonald's India Pvt Ltd (MIPL).