Lawstreet Journal

OYO in Trouble Again, Hotel Partner moves to Court over Breach of Contract

Lawstreet Journal 17 Jun 2020 9:13pm

Image courtesy: Lawstreet Journal Business OYO in Trouble Again, Hotel Partner moves to Court over Breach of Contract

OYO Hotels and Homes have been dragged to the court for breach of contract by another hospitality firm.

The Delhi-based Pearl Hospitality & Events has accused OYO of denying paying the amount OYO allegedly owes for exiting the property & abandoning their contract.

As per the company’s statement, it had entered into a ‘Management Service Agreement’ with OYO on Sep 4, 2019. As per the agreement, OYO had a lock-in period of 16 months from Sept 12, 2020. If the company decided to terminate the agreement before this lock-in period, it would have to pay Pearl Hospitality a certain amount. The hotel partner alleged that the OYO made its payments till November 2019 only.

A notice has been issued to OYO by the High Court of Delhi, to respond to the complaint filed by the partner of the hotel based in Delhi, who is now seeking financial compensation with Rs. 5 Cr for the breach of lock-in period terms in the contract. OYO has to reply by June 2019.

Legal Counsel of OYO told Delhi High Court that Pearl Hospitality had taken the discussed property on lease from the original landlord, the agreement for which was terminated in January this year. The Softbank-backed company added that with the termination of the deal between the landlord & Pearl Hospital, there is “no question of the petitioner maintaining any claim.”

Pearl Hospitality has not submitted various documents like licenses, no-objection certifications, despite repeated requests, added the legal counsel.

An OYO spokesperson commenting on the case, said that the… Continue Reading...

Tagged: Oyo rooms  
Disclaimer: SoOLEGAL in Media collaboration with Lawstreet Journal. SoOLEGAL take no responsbility for the content provided by Lawstreet Journal. For any discrepancies Contact Lawstreet Journal.
Did you find this write up useful? YES 0 NO 0
New Members view all


C2RMTo Know More

Something Awesome Is In The Work









Sign-up and we will notify you of our launch.
We’ll also give some discount for your effort :)

* We won’t use your email for spam, just to notify you of our launch.

SAARTHTo Know More

Launching Soon : SAARTH, your complete client, case, practise & document management SAAS application with direct client chat feature.

If you want to know more give us a Call at :+91 98109 29455 or Mail