Lawstreet Journal

Deccan Chargers Owner in 'Unquestionable Breach' of Contractual Obligations to BCCI: Bombay High Court

Lawstreet Journal 22 Jun 2021 7:50pm

Image courtesy: Lawstreet Journal Judiciary Deccan Chargers Owner in 'Unquestionable Breach' of Contractual Obligations to BCCI: Bombay High Court

A bench of Justice Gautam Patel set aside the award which directed BCCI to pay over Rs 4800 crores to DCHL over termination of IPL contract of Deccan Charges.

Deccan Chronicle Holdings Ltd (DCHL), owners of the IPL franchisee from Deccan Chargers – was rewarded despite being in unquestionable breach of its contractual obligations towards the Board of Cricket Control of India (BCCI), the Bombay High Court said while setting aside the Rs 4814 crore arbitral award to DCHL.

A single bench of Justice Gautam Patel passed the order on BCCI's appeal under Section 34 of the Arbitration and Conciliation Act against the sole arbitrator, retired Supreme Court Judge C K Thakker's July 17, 2020 decision. Justice Thakker had held that BCCI illegally terminated its contract with DCHL, owners of the Hyderabad franchisee, in 2012.

Summarising his 176-page order, Justice Patel said there were three main defaults by DCHL of their contractual obligation - failing to pay players and numerous others, creating charges on assets (mortgaging assets to different banks), and insolvency proceedings against the company.

While the first two were defaults were curable, the last default could invite immediate termination. Justice Patel noted that none of the defaults were addressed satisfactorily by DCH in the present case, still, the arbitral award was passed in their favour.

"The award proceeded in places without reasons, in others by ignoring evidence, in yet others by wandering far afield from the contract, and in taking views that were not even possible," Justice… Continue Reading...


Tagged: Indian Cricketer   BCCI  
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