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169 McDonald`s stores stare at closure from today; NCLAT to hear plea
McDonald`s on August 21 terminated the franchise agreement for the 169 outlets operated by CPRL.
New Delhi: The National Company Law Appellate Tribunal (NCLAT) will hear on Thursday the plea of Vikram Bakshi seeking a stay on termination of franchise agreement by McDonald's for 169 stores operated by CPRL.
NCLAT had denied any interim relief to Bakshi on his plea yesterday and dismissed his petition against cancellation of franchise licence agreement to CPRL, following which Bakshi moved an appeal before NCLAT.
"If all papers are in order then it would be listed tomorrow," said the single-member bench of NCLAT on Wednesday.
With this, the fate of 169 stores in north and east India remains in limbo as Connaught Plaza Restaurant Ltd's (CPRL) licence to operate lapsed on Tuesday. CPRL is a 50:50 JV between McDonald's and its estranged partner Bakshi.
McDonald's on August 21 terminated the franchise agreement for the 169 outlets operated by CPRL.
As part of the termination, CPRL has ceased to use McDonalds's name, system, trademark, designs and its associated intellectual property, among others from September 5.