Future Group-Amazon in talks to negotiate settlement, lawyers tell Delhi HC

Future Group and Amazon told the Delhi High Court they are negotiating a settlement following the Singapore International Arbitration Centre's ruling directing Future to pay Rs 23.7 crore in damages

Don't want to miss the best from Business Standard?

The Delhi High Court was told by lawyers on Friday that Future Group and Amazon were in the process of negotiating a settlement following an arbitral award by the Singapore International Arbitration Centre (SIAC). It had directed the group to pay ₹23.7 crore in damages to the e-commerce company.

 

Justice Jasmeet Singh, before whom petitions by Future Coupons Private Ltd (FPCL) and Ashni Biyani (daughter of Kishore Biyani) challenging the SIAC award were listed, adjourned the matter to January 14, 2026.

 

In June, the SIAC had ruled in favour of Amazon in its long dispute with Kishore Biyani-led Future Group.

 

The tribunal had awarded only ₹23.7 crore of the ₹1,436 crore damages sought by Amazon, citing Future Retail Limited's (FRL) ‘deteriorating value.’

 

The three-member Bench of the tribunal held that Future Group had breached its contract with Amazon by entering into a transaction with Reliance, which violated the terms of the contract.

 

It also told 11 promoters and parties of Future Group, including Kishore Biyani, to pay the amount along with interest from March 9, 2022, till now. Amazon was also awarded arbitration and litigation costs.

 

In 2022, Amazon had argued before the Supreme Court that its ₹1,400-crore investment in the Future Group does not allow the latter to sell its assets to certain companies, including Reliance.

 

The battle pertains to a decision by the Future Group to sell its Big Bazaar retail business to Reliance Retail, a subsidiary of Reliance Industries. 

 

SIAC ruled that Amazon was entitled to damages due to promoters' breaches of FCPL shareholders' agreement, but rejected the ₹1,436 crore damages sought by Amazon.

 

The tribunal said that though all contractual obligations were fulfilled by Amazon, it would not have recovered its entire investment due to FRL's deteriorating business value.

 

The tribunal said awarding Amazon damages in full would unfairly shield it from commercial loss it was bound to incur due to Covid and the deteriorating value of FRL.

 

Amazon was awarded ₹77.3 crore and Singapore $68,550 as litigation costs.

 

In August 2020, Future Group, facing financial distress and debts of around ₹22,000 crore, decided to sell its wholesale, logistics, and warehousing business to Reliance Industries for ₹24,713 crore.

 

Amazon objected to this, citing a violation of their contractual obligations.

 

Amazon then started arbitration proceedings against Future Group in October 2020, obtaining an emergency arbitration award, pausing the Future-Reliance deal.

 

Amazon and Future Group both took the matter to the Delhi High Court, the Supreme Court, and the National Company Law Appellate Tribunal (NCLAT) to resolve the issue.

 

The Competition Commission of India (CCI) had also imposed a fine of ₹200 crore on Amazon for non-disclosure of information on combinations under the Competition Act 2002.

 

Amazon had then moved the Supreme Court against the CCI ruling. It suspended approval for the e-commerce giant's 2019 investment in the Future Group on January 10, 2023.