Cox & Kings To Continue Services For Taj Group

Though the Tata managed Indian Hotels Company has severed its travel services contract with travel and tourism company, Cox & Kings, not all business relations between the two companies have been cut off.

Cox & Kings will still continue its relations with the Taj chain of hotels in areas of business and leisure travel businesses.

Meanwhile, the city civil court, in its judgment on Cox & Kings interim injunction plea on Monday, has noted that the termination of the trade contract between Cox & Kings and the Indian Hotels subsidiary, Taj Trade and Transport Company (TTT), has caused hardships to the former, and opined that a notice ought to have been given before the severance of the contract.

 

The court also felt that C&K was in its rights to seek damages from TTT for unilaterally severing the contract.

The Mumbai city civil court had turned down a Cox & Kings application seeking interim relief for an injunction on Taj Trade and Transport Company, (TTT), restraining it from interfering and obstructing Cox and Kings from carrying out its business and stopping its personnel from occupying their offices.

The court did not grant the injunction and turned down the C&K petition. The C&K motion is, however, returnable on March 17 for consideration.

Travel and tourism major Cox & Kings had moved the court following the severance of its long standing contract with the travel desk of the Taj group of hotels by virtue of which C&K was to manage, operate and advise the travel desks of the Taj properties for a period of 75 years. The severance of the contract is, however, not expected to hit C&Ks business as it constituted only 0.2% of its total turnover which is expected to be around Rs 150 crore this year.

TTT had terminated its contract with Cox and Kings recently. In June 1996, C&K was appointed by TTT to advise, operate and manage its travel desks.

In a communique issued some time last week TTT, severed all links with the travel company thereby preventing it from rendering any further services to the travel desk of the hotel chain.