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ARTICLE · 11 JULY 2025

Dispute Resolution & ADR Newsletter - July 2025

Fox & Mandal
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The July 2025 edition of Fox & Mandal's Dispute Resolution & ADR Newsletter analyses the liability of the sole shareholder in a One Person Company; validity of a sole arbitrator's appointment due to inaction by the counterparty; application of family of marks doctrine to registered trademarks; continuation of arbitration despite provisional attachment of underlying assets under PMLA; and other recent judgments of the Supreme Court of India and various High Courts.

IndiaLitigation, Mediation & Arbitration
Kunal Vajani
Kunal Vajani
Ashutosh Gupta
Ashutosh Gupta
Kunal Mimani
Kunal Mimani
Kartikey Bhatt
Kartikey Bhatt
Prashant Alai
Prashant Alai
Shubhang Tandon
Shubhang Tandon
Shraddha Chirania
Shraddha Chirania
Mandeep Singh
Mandeep Singh
Abhinav Jain
Abhinav Jain
+6 more
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One Person Company's sole shareholder cannot be held liable without su8icient grounds to pierce the corporate veil

Saravana Prasad v. Endemol India Pvt Ltd

Bombay High Court | Commercial Arbitration Petition (L) No. 22714 of 2024 In a dispute arising from an agreement entered into by a One Person Company (OPC), the Bombay High Court recently set aside the arbitral tribunal's interim order directing the OPC's sole shareholder to secure the disputed amount. The decision reaffirms that the concepts of separate legal personality and limited liability of a company are not lost in the case of an OPC, even when it may appear convenient and natural to extend the liability to its sole shareholder. The corporate veil cannot be pierced in a routine manner if the necessary conditions – such as fraud, collusion, evasion of taxes, etc – are not met. By upholding the rigours for piercing the corporate veil for an OPC, the decision affirms the special protection granted

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