Publications

Launch of The Legal 500: Technology Country Comparative Guide
2017

All PUBLICATIONS

Competition Law

THE BUSINESS OF SPORTS REGULATION: CCI GOES H...

In an order dated November 29, 2017 (the “Order”) , the Competition Commission of India (the “Commission”) found the Board of Control for Cricket (the “BCCI”) guilty of abusing its dominant position in contravention of the provisions of Section 4(2)(c) (denial of market access) of the Competition Act, 2002...

Employment Law

The Executive Remuneration Review Edition 6

When dealing with executive remuneration or compensation, the trend in today’s growing market is to find a fine balance between the act of rewarding executives and the growth and progress of the company

Financial Services, Government & Regulatory

MASTER DIRECTIONS ON THE ISSUANCE AND OPERATI...

For over a decade now, Indian banks and non-bank entities have been issuing prepaid payment instruments (“PPIs”) after obtaining necessary approvals from the Reserve Bank of India (the “RBI”) under the Payment and Settlement Systems Act, 2007 (the “PSS Act”).

Banking & Finance, Technology, Media & Telecommunications

RBI DIRECTIONS ON PEER TO PEER LENDING PLATFO...

The Reserve Bank of India (the “RBI”), by way of a notification dated August 24, 2017 , notified that a non-banking institution that carries on ‘the business of a peer to peer lending platform’ shall be a non-banking financial company (the “Notification”). The RBI has issued the Notification pursuant to Sec...

Competition Law

COMPETITION COMMISSION’S PERSPECTIVE ON LIF...

In a recent order dated October 5, 2017 (the “Order”), the Competition Commission of India (the “CCI”) found Grasim Industries Limited (“GIL”), Aditya Birla Chemicals (India) Limited (“ABCIL”) and Gujarat Alkalies and Chemicals Limited (“GACL”) in contravention of Section 3(1) read with Section 3(3)...

Corporate & Commercial

RESTRICTION ON THE NUMBER OF LAYERS OF SUBSID...

The Ministry of Corporate Affairs notified the Companies (Restriction on Number of Layers) Rules, 2017 (the “Rules”) on September 20, 2017. The Rules have been issued pursuant to Section 2 (87) of the Companies Act, 2013 (the “Act”), which provides the Central Government the power to cap the number of layers of...

Banking & Finance, Government & Regulatory, Projects & Project Finance

MASALA BONDS: ISSUING RUPEE DENOMINATED DEBT ...

The Reserve Bank of India (the “RBI”) altered certain norms relating to the issuance of rupee denominated bonds (commonly known as ‘masala’ bonds) in the overseas market (“Rupee Bonds”), pursuant to two circular’s dated September 22nd, 2017 (the “Circulars”).

Employment Law

NEW ACT TO REGULATE SHOPS & ESTABLISHMENTS IN...

The Government of Maharashtra published the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017 (the “New Act”) earlier in September. The New Act will come into force on a specific date that is yet to be announced and will repeal the Bombay Shops & Establishments Act,...

Employment Law

REVISION OF WAGE CEILING UNDER THE PAYMENT O...

The Payment of Wages Act, 1936 (the “Wages Act”) is a Central Government legislation that governs the manner of payment of wages to certain classes of employed persons. The Wages Act, inter alia, ascribes responsibility for the payment of wages, provides for the fixation of time periods for such payment, prescribes...

Government & Regulatory

KEY HIGHLIGHTS OF THE CONSOLIDATED POLICY ON ...

By way of Press Note No. 1 of 2017, the Department of Industrial Policy and Promotion (the “DIPP”), on August 28, 2017, released the consolidated foreign direct investment policy circular for 2017 (the “2017 FDI Policy”), effective from August 28, 2017. With the 2017 FDI Policy, the DIPP has integrated all th...

Banking & Finance, Corporate & Commercial, Litigation & Dispute Resolution

TIME BARRED DEBT CAN BE PURSUED UNDER THE INS...

In a recent judgment, the National Company Law Appellate Tribunal, New Delhi (the “NCLAT”) held that the provisions of the Limitation Act, 1963 (the “Limitation Act”) do not apply to proceedings initiated under the Insolvency and Bankruptcy Code, 2016 (the “Code”). The judgment will have far reaching conseq...

Technology, Media & Telecommunications

DIGITAL BUSINESS IN INDIA: OVERVIEW

The Q&A guide gives a high level overview of matters relating to regulations and regulatory bodies for doing business online, setting up an online business, electronic contracts and signatures, data retention requirements, security of online transactions and personal data, licensing of domain names, jurisdiction an...

Mergers & Acquisitions

INDIA'S NEW CROSS BORDER MERGER PROVISIONS: A...

Earlier this year in April, the Ministry of Corporate Affairs (the "MCA") by way of notification effective from April 13, 2017 notified Section 234 of the Companies Act, 2013 (the "Act") along with the Companies (Compromises, Arrangements and Amalgamations) Amendment Rules, 2017 (the "Rules") to operationalize Section ...

Banking & Finance, Government & Regulatory

SEBI TEMPORARILY SUSPENDS MASALA BONDS AND FL...

Suggesting that the Indian corporate bond market’s exposure to foreign investors may be overheating, the Securities Exchange Board of India (“SEBI”) issued a circular on 20 July 2017 (the “Circular”) temporarily suspending the overseas issue of Rupee denominated debt in a cautionary measure to s...

Employment Law

UNION CABINET APPROVES THE WAGE CODE

The Second National Labour Commission in 2002, recommended the division of labour laws into four or five broad groups concerning wages, social security, safety, industrial relations, welfare and working conditions.In 2015, the Union Ministry of Labour and Employment introduced the draft Labour Code on Industrial Relati...

Corporate & Commercial

THE NEW LAW ON DISABILITY: WHAT DOES IT MEAN ...

The Rights of Persons with Disabilities Act, 2016 (the “Act”) and the Rights of Persons with Disabilities Rules, 2016 (the “Rules”) came into effect on April 19, 2017 and June 15, 2017, respectively (together, the “Disability Law”). The Disability Law replaces the old Persons with Disabilities (Equal Opport...

Projects & Project Finance, Energy, Infrastructure & Natural Resources, Litigation & Dispute Resolution

SUPREME COURT RULING AGAINST COMPENSATORY TAR...

Earlier this month, the Supreme Court of India in Energy Watchdog & Ors. v/s. Central Electricity Regulatory Commission set aside the orders passed by the Appellate Tribunal for Electricity ("APTEL") dated 7 April 2016 (the "APTEL Order") and the Central Electricity Regulatory Commission ("CERC") dated 6 December 2...

Litigation & Dispute Resolution

THE UNRESOLVED CONTROVERSY – CAN TWO INDIAN...

The question of whether two Indian parties can have a seat of arbitration outside India and choose foreign law to resolve disputes continues to remain a vexed issue. The Supreme Court recently had an opportunity to decide this controversy in the case of Sasan Power Ltd., v. North American Coal Corporation India Private...

Private Client

TDS ON RENT FOR INDIVIDUALS AND HINDU UNDIVID...

The Finance Bill, 2017 had proposed a new Section 194IB to the Income Tax Act, 1961 (the "Act"), to provide that individuals and Hindu Undivided Families ("HUFs") paying rent of INR 50,000 (Indian Rupees fifty thousand) or more per month to a resident, will now have to deduct 5% (five per cent) tax at source ("TDS"). T...

Banking & Finance, Capital Markets & International Offerings, Government & Regulatory

MASALA BONDS: ISSUING RUPEE DENOMINATED DEBT ...

Earlier this month, the Reserve Bank of India (the “RBI”) published certain norms relating to the issuance of rupee denominated bonds (also commonly known as the ‘masala’ bonds) in the overseas market (“Rupee Bonds”), pursuant to a circular dated June 7, 2017 (the “Circular”).

Competition Law

CCI PENALIZES HYUNDAI FOR CURBING DEALER DISC...

The Competition Commission of India (the “CCI”), through its order dated June 14, 2017, has imposed a penalty of INR 870 million (Indian Rupees Eighty-Seven Crores) (approximately USD 13.4 million) on Hyundai Motor India Limited (“HMIL”) for indulging in anti-competitive practices in violation of Section 3(1) o...

Intellectual Property

NEW GUIDELINES FOR DETERMINING WELL-KNOWN TRA...

The Office of the Controller General of Patents, Designs and Trademarks (the “CG Office”) recently notified and issued guidelines for setting out a procedure for determination of well-known trademarks in India (the “New Guidelines”). The New Guidelines have been issued pursuant to Rule 124 of the Trade Marks Ru...

Government & Regulatory

GST: BACK ON TRACK FOR JULY 2017 ROLLOUT?

The Parliament passed cornerstone legislation at the beginning of April, keeping the implementation of the new GST regime on track. The Acts essentially implement the intention of the Amendment, clearing the way for new fiscal powers at the Center and the State level, permitting the collection and sharing of the GST.

Corporate & Commercial, Government & Regulatory, Litigation & Dispute Resolution

AWARD FOR DAMAGES DOES NOT BREACH SHARE PRICE...

Recently, the Delhi High Court (the "Court") passed a landmark judgment while deciding a petition seeking enforcement of a foreign arbitral award.

Employment Law

AMENDMENTS TO THE MATERNITY BENEFIT ACT, 1961

The Maternity Benefit Act, 1961 (the "Act") has been recently subject to certain significant amendments. Women employees are now entitled to additional maternity leave and employers with a certain number of employees are required to provide crèche facilities.

Competition Law

ABUSE OF DOMINANT POSITION: INQUIRY ORDERED A...

The Competition Commission of India (the "CCI"), in the matter of Biocon Limited ("Biocon"), Mylan Pharmaceuticals ("Mylan"), F. Hoffman La-Roche AG, Genetech Inc and Roche Products (India) Private Limited (collectively the "Roche Group") (the "CCI Order")[1] has held the Roche Group to be prima facie in contravention ...

Technology, Media & Telecommunications

CLOUD SERVICES: GUIDELINES FOR GOVERNMENT PRO...

The Ministry of Electronics and Information Technology, Government of India (the "Ministry") has announced the "MeghRaj Policy" (the "Policy") providing directions for adoption of cloud services by various government departments (including central, states and municipalities). The Policy comprises the objectives and aim...

Competition Law

SUPREME COURT WEIGHS IN ON 'RELEVANT TURNOVER...

The Supreme Court of India (the "Supreme Court") on May 8, 2017[1] held that the 'relevant turnover' and not the total turnover should be the basis for determination of penalties under the Competition Act, 2002 (the "Act").

Litigation & Dispute Resolution

IS SERVICE OF SUMMONS BY WHATSAPP PROPER SERV...

In a recent order of the Bombay High Court, service of summons by WhatsApp was considered as an acceptable mode of service based on the facts of that case. This was followed by another order in April 2017 by the Financial Commissioner Court of Haryana, which ordered summons to be served through WhatsApp in order to red...

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

Government & Regulatory

THE FINANCE ACT, 2017 - IMPLICATIONS & CONSTI...

India's finance bill for the financial year 2016-2017 (the "Bill") was presented by the Finance Minister on February 1, 2017 and approved by the Lok Sabha with certain modifications on March 22, 2017. The Lok Sabha voted the Bill to be a money bill.

Energy, Infrastructure & Natural Resources, Litigation & Dispute Resolution

CAIRN ENERGY LOSES RETROSPECTIVE TAX CASE BEF...

Cairn Energy recently lost its appeal before an Indian tax appellate tribunal in relation to the charging of retrospective capital gains tax. We analyse the implications of the ruling and the risks arising for foreign investors restructuring their Indian operations.

Competition Law

COMBINATIONS UNDER COMPETITION LAW: DE-MINIMI...

The Ministry of Corporate Affairs (the "MCA") has clarified the scope of the de-minimis exemptions, which exempt certain enterprises from the applicability of section 5 of the Competition Act, 2002 (the "Act"), by issuing notification numbers. S.O. 988 (E) (the "2017 Notification") and S.O. 989 (E) (the "Repeal Notific...

Employment Law

INTERNAL COMPLAINTS COMMITTEES: REQUIREMENTS ...

The Delhi High Court on February 16, 2017, in the matter of Ashok Kumar Singh v. University of Delhi & Ors pronounced on the nature of inquiry reports of internal complaints committees ("ICCs") required under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (the "Act").

Intellectual Property

INFOLEX NEWSLETTER - IP

This Newsletter brings to you the IP updates during the first quarter of this year. The first quarter saw remarkable changes in trademark practice and procedure in India. With substantial changes in fees and with the introduction of a new register to record well known trade marks, the new Trade Marks Rules are in place...

Corporate & Commercial

CONTROL AND INVESTOR PROTECTION RIGHTS UNDER ...

The Securities Exchange Board of India ("SEBI"), in a recent order dated March 31, 2017, in the matter of Kamat Hotels (India) Limited (the "SEBI Order") has clarified that protective covenants or rights in favor of an investor in the company are in the nature of checks and controls rather than formulating policies to ...

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

Government & Regulatory, Banking & Finance

DIGITAL WALLETS IN INDIA- A BRIEF ASSESSMENT ...

The Reserve Bank of India ("RBI") has classified digital wallets as "Prepaid Payment Instruments" (hereinafter "PPI" or "Issuer") which refers to payment instruments that facilitate purchase of goods and services, including funds transfer, against the value stored on such instruments.

Technology, Media & Telecommunications, Intellectual Property

THE RESURRECTION OF SAFE HARBOURS FOR INTERNE...

In its recent judgment in the matter of MySpace Inc. v. Super Cassettes Industries Ltd., a division bench of the Delhi High Court (the “Court”) comprising of S. Ravindra Bhat and Deepa Sharma, JJ., overturned a single judge’s order in the matter of Super Cassettes Industries Ltd. v. MySpace Inc.

Intellectual Property

NEW TRADE MARKS RULES IN INDIA

The Government of India has notified[1] the Trade Marks Rules, 2017 (the “New Rules”) under the Trade Marks Act, 1999 (the “Trade Marks Act”) on 6th March 2017. The New Rules have replaced the Trade Marks Rules, 2002, which were earlier in force.

RISK MANAGEMENT AND INTER-BANK DEALINGS: OPER...

Pursuant to the Foreign Exchange Management (Foreign Exchange Derivative Contracts) Regulations, 2000, (the “Regulations”) the Reserve Bank of India (the “RBI”) has framed regulations to promote the orderly development and maintenance of the foreign exchange market in India.

FINANCE BILL MERGES QUASI JUDICIAL BODIES

The Lok Sabha on March 22, 2017, passed the Finance Bill, 2017 (the "Finance Bill"), introducing several key amendments to different laws relating to issues not previously presented in the Union Budget for this financial year.

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

Renewable Energy, Nuclear Law, Energy, Infrastructure & Natural Resources

INDIA: JOINT VENTURES IN INDIA'S ATOMIC ENERG...

The Atomic Energy (Amendment) Act, 2015 (the "Amendment Act") essentially expanded the definition of "Government Company" in the Act to include a joint venture formed between NPCIL and a PSU.This article considers the implications of the Amendment Act, assesses its impact over the year since the Act was amended and mor...

Employment Law

FIVE LAWS THAT THE FM PROPOSES TO CHANGE

Consolidating the labour laws Issues & challenges The Budget promises to come up with a plan to consolidate labour laws under four subjects: Wages, industrial relations, social security and working conditions. “Fragmentation is a big issue as there are more than 100 statutes and many of them overlap,” says Avik...

Corporate & Commercial

KEY LEGAL DEVELOPMENTS 2016

This publication highlights some of the key changes to India’s legal framework during 2016, analysing its implications and what it means for investors, lenders, developers and other key stakeholders in the economy.

Projects & Project Finance

RENEWABLE ENERGY ALERT 

Our Renewable Energy Alert is a monthly update designed to keep you up-to-date with the latest legal developments that could potentially impact your business. We set out below a brief summary of some of the key legal developments impacting the sector during January 2017.

CLARIFICATION ON GRANDFATHERING OF COMPULSORI...

The Central Board of Direct Taxes (the "CBDT") released a circular on January 27, 2017 (the "CBDT Circular") providing certain clarifications on queries received by the CBDT on the implementation of the General Anti-Avoidance Rules (the "GAAR").

Government & Regulatory, Corporate & Commercial

UNION BUDGET 2017-2018: HIGHLIGHTS

India’s Finance Minister presented the Union Budget 2017-2018 (the "Budget") before Parliament on February 1, 2017, with promises to boost rural spending and cut taxes for the lower middle classes and small to medium business enterprises.

Employment Law

EMPLOYEE ENROLLMENT CAMPAIGN

The Government has amended the Provident Fund Scheme, 1952, launching the 'Employees Enrollment Campaign, 2017' (the "Campaign").

ISSUANCE OF RUPEE DENOMINATED BONDS OVERSEAS:...

Eligible resident corporates and/or body corporates[1] had earlier been permitted to issue rupee denominated bonds (also commonly known as the 'masala' bonds) in the overseas market ("Rupee Bonds") under India’s external commercial borrowing policy pursuant to the terms of A.P. (DIR Series) Circular No.17 dated Septe...

Intellectual Property

WHERE CAN A FOREIGN REGISTERED PROPRIETOR SUE...

A Division Bench of the High Court of Delhi (the "Court"), in its recent judgment in the matter of P.K. Sen vs. Exxon Mobile Corporation and Anr.[1], reversed the decision of a single judge of the Court and held that a foreign registered proprietor[2]who does not have an office or a principal place in India, cannot fil...

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

International Practice Group

INDUSLAW HOSTS IFCCI EVENT WITH SHRI. AMITABH...

On Tuesday, January 24th 2017, INDUSLAW in collaboration with the Indo-French Chamber of Commerce and Industry (IFCCI) Delhi hosted an interactive session with Shri. Amitabh Kant, CEO, Niti Aayog to discuss the current economic and investment climate in India as well as oppor...

Intellectual Property

INFOLEX NEWSLETTER - IP

As we take you through the advancements in the field of IP in the last quarter of 2016, we take this opportunity to wish you all a very happy and prosperous 2017 ahead!

BRIEFING NOTES – KEY LEGAL DEVELOPMENTS 201...

  • on 01/01/2017

This time last year, few would have been optimistic that parliament would be able to push through much needed legislation to trigger sweeping changes to India’s indirect taxation system and the resolution of bankruptcy and insolvency.

Projects & Project Finance

GUIDELINES ON CROSS BORDER TRADE OF ELECTRICI...

In an effort to harmonise municipal laws, rules and regulations governing the trade of electricity, the Ministry of Power (the "MoP") issued on 5 December, 2016 guidelines for cross border trade of electricity (the "Guidelines").

Employment Law

REVISED WAGE LIMIT UNDER THE EMPLOYEES’ STA...

The Employees’ State Insurance (Central) Rules, 1950 ("Rules") has been recently amended and the wage limit for coverage of an employee under the Employees’ State Insurance Act, 1948 stands revised.

Corporate & Commercial

BOOST TO FUNDING STARTUPS: THE ISSUE OF CONVE...

The Reserve Bank of India has amended theForeign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2000 (the "TISPRO Regulations"), on January 10, 2017 (the "TISPRO Amendment"), to provide for the issuance of ‘convertible notes’ to foreign investors by start-up comp...

Fund Investment, Venture Capital & Private Equity, Corporate & Commercial, Technology, Media & Telecommunications

THE 40 WHO MATTER IN THE INDIAN START-UP ECOS...

In the first of a multi-part series, Mint profiles the 40 most influential people in India's start-up ecosystem. While e-commerce influencers still dominate the list, there are a handful of new entrants, most prominently those connected with enterprise software or Software as a Service (SaaS) start-ups that are fast be...

Fund Investment, Venture Capital & Private Equity, Private Client

PERMANENT RESIDENCY STATUS TO FOREIGN INVESTO...

Taking forward its Make in India initiative, on August 31, 2016, the Union Cabinet approved the scheme for grant of permanent residency status (“PRS”) with multiple entry to foreign investors, provided they fulfil certain conditions.

Corporate & Commercial

INSOLVENCY AND BANKRUPTCY BOARD OF INDIA

On December 1, the Ministry of Corporate Affairs notified the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 (the “Regulations”) to govern the corporate insolvency resolution process under the new Insolvency & Bankruptcy Code (2016) (the “Code...

SPECIAL MEASURES TO INCENTIVISE ELECTRONIC PA...

The Reserve Bank of India (the “RBI”) has issued a circular to address the special circumstances that have emerged after the demonetization drive (the “Circular”).

Corporate & Commercial

THE ROLE OF THE NATIONAL COMPANY LAW TRIBUNAL...

On December 7, 2016, the Ministry of Corporate Affairs published 2 (two) notifications relating to the commencement of certain sections of the Companies Act, 2013 (the “Commencement Notification”) and the Companies (Transfer of Pending Proceedings) Rules, 2016 (the “Transfer Rules”).

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

Corporate & Commercial, Banking & Finance

INSOLVENCY AND BANKRUPTCY CODE, 2016: A CRITI...

It's no secret that the Indian banking industry has a rather large number of loans outstanding that have simply gone wrong. With non-performing loans estimated at just over INR 6.3 trillion1 market. In this context, the new Insolvency and Bankruptcy Code (the "Code") passed by Parliament earlier this year, promises to ...

Fund Investment, Venture Capital & Private Equity

BIGBASKET, JANALAKSHMI, DELHIVERY AMONG WINNE...

Online supermarket BigBasket, microlender Janalakshmi Financial Services and logistics firm Delhivery Pvt Ltd have emerged among the winners of VCCircle Awards 2016 declared on Wednesday in Mumbai.

Corporate & Commercial, Government & Regulatory

INDIA: THE GIST OF GST - A UNIFIED INDIRECT T...

"One Country, One Tax, One Market" were the excited claims of the architects of the Constitution (One Hundred and First) Amendment Act, 2016, passed by the Rajya Sabha on 3rd August 2016 and the Lok Sabha on 8th August 2016 and which received the assent of the President on 8th September 2016 (the "Constitutional Amendm...

Government & Regulatory

MONDAQ AWARDS – INDUSLAW WON CONTRIBUTOR WI...

During the Month of November 2016. The Gist Of GST - A Unified Indirect Tax Market? (India) from INDUSLAW won the award for this category.*

HIGH DENOMINATION NOTES: GOVERNMENT ACTION MI...

The Government of India took unprecedented action at midnight on November 8, 2016 to effectively demonetize Rs. 500 and Rs. 1,000 notes (together "High Denomination Notes") as legal tender, withdrawing them from circulation.

Fund Investment, Venture Capital & Private Equity

HUBTOWN CASE – REALISTIC INTERPRETATION OF ...

The Supreme Court, in its judgment in IDBI Trusteeship Ltd. V. Hubtown Ltd.[1] on November 15, 2016, has set aside the Bombay High Court’s judgment (summarised below) regarding the validity of structured investments by foreign investors, where an assured return is guaranteed, holding a corporate guarantee for payment...

International Practice Group

JAPAN NEWSLETTER

The INDUSLAW 日本のニュースレター brings you the key regulatory and legal developments in various sectors in India.

Competition Law

RISE OF FLIPKART, AMAZON, OLA, UBER, MAKEMYTR...

As India’s Internet businesses mature, a time may come when the anti-trust regulator will have to take a closer look at companies that are changing several industries including travel, retail and advertising. So far, the antitrust regulator Competition Commission of India (CCI) has almost always ruled in favour of In...

Intellectual Property

INFOLEX NEWSLETTER - IP

The third quarter of the year has seen remarkable developments in the field of copyright law. In addition to the Department of Industrial Policy and Promotion, India, bringing online broadcasting of copyrighted content under the ambit of the Copyright Act, 1957, there was a row of decisions on several copyright aspects...

Intellectual Property

COPYING EDUCATIONAL MATERIALS IN THE COURSE O...

In its recent judgment, the Delhi High Court has held that the compilation of photocopies of various copyrighted material used “in the course of instruction” by teachers and educational institutions, does not amount to an infringement of copyright.

START-UP EMERGENCY FUNDING GETS A FANCY NAME ...

  • on 17/09/2016

Entrepreneurs are encouraged to be hustlers. Interestingly, they don’t just create ideas but also terminologies. As investors become more demanding, entrepreneurs and start-ups are increasingly turning to emergency financing which has been given a fancy name of Pre-Series A.

Litigation & Dispute Resolution, Technology, Media & Telecommunications

INDIA: HIGH COURT ISSUES "STRONG JUDGEMENT" I...

The High Court of Delhi (‘the High Court’) pronounced, on 23 September 2016, its decision in a public interest litigation case, Karmanya Singh Sareen and Anr v. Union of India and Ors (‘the Decision’), in relation to WhatsApp Inc.’s new privacy policy that allows for the sharing of users’ data with Facebook...

Intellectual Property

INDIA: BRAND LOGOS – TO TRADEMARK OR COPYRI...

Generally, logos and designs that are used as brand identities for representing businesses are protected as trademarks. As they are original artistic works that have an element of creativity, they are also protected as copyrights. Trademarks and copyrights are two different forms of intellectual properties and are prot...

THE GIST OF GST: THE CONSTITUTION (122ND AMEN...

  • on 01/08/2016

The Constitution (122nd Amendment) Bill, 2014 (the “Bill”) paving the way for the implementation of the unified goods and services tax regime (the “GST”) has been passed by the Rajya Sabha on 3rd August 2016, with amendments re-tabled and passed by the Lok Sabha on 8th August 2016.

Litigation & Dispute Resolution

CONSISTENCY CAN MAKE INDIA A GLOBAL ARBITRATI...

Mumbai, July 16, 2016: While lauding the recent amendments to the Indian Arbitration and Conciliation Act 1996, prominent legal experts called on the government to clear many ambiguities that is often leading to conflicting judgments and delays.

Corporate & Commercial

INDIA: DEPOSITS UNDER THE COMPANIES ACT, 2013

Deposits have been defined under the Companies Act, 2013 ("2013 Act") to include any receipt of money by way of deposit or loan or in any other form by a company. However deposits do not include such categories of amounts as may be prescribed in consultation with the Reserve Bank of India ("RBI"). Chapter V of the 2013...

RECENT LEGAL DEVELOPMENTS IN INDIA

  • on 01/07/2016

Key regulatory and legal developments in various sectors in India.

Fund Investment, Venture Capital & Private Equity, Corporate & Commercial

KEY HIGHLIGHTS IN THE CONSOLIDATED POLICY ON ...

The Department of Industrial Policy & Promotion (the "DIPP") had, in supersession of the erstwhile policy on foreign investments in India (the "Erstwhile FDI Policy") released the consolidated policy on foreign investments in India (the "FDI Policy, 2016") which is effective from June 07, 2016. Vide the FDI Policy,...

NFOLEX NEWSLETTER - IP

  • on 01/07/2016

The second quarter of this year has seen significant developments in the field of Intellectual Property Rights in India. While the National IPR Policy was approved by the Government of India to strengthen the future of IPR in India, the Patent (Amendment) Rules, 2016 were re-published and brought in effect in May. The ...

Projects & Project Finance, Energy, Infrastructure & Natural Resources

SOLAR POWER IN INDIA: SOLAR PANELS, DOMESTIC ...

The National Solar Mission or the Jawaharlal Nehru National Solar Mission (the "JNNSM") adopted by India in 2010 targets generation of 100,000 MW of grid connected solar power capacity by 2022.

Intellectual Property

INDIA: TRADE DRESS: LAWS RELATING TO THE PROT...

With the growth in the number of e-commerce ventures, the need for protecting intellectual property rights in respect of websites and related technologies has received considerable attention from founders, investors and other stakeholders involved in the growth and development of the e-commerce industry.

Intellectual Property

NATIONAL IPR POLICY

The National IPR Policy, approved by the Union Cabinet on 13th May 2016, is a visionary document, aiming to create awareness of intellectual property rights in general and promote the creation, commercialization, protection and enforcement of IPR in India. It aims to promote entrepreneurship and enhance access to healt...

INDUSLAW MONTHLY NEWSLETTER

  • on 01/06/2016

The INDUSLAW Monthly Newsletter brings you the key regulatory and legal developments in various sectors in India.

Banking & Finance, Projects & Project Finance

REFINANCING OF PROJECT LOANS BY NON-BANKING F...

The Reserve Bank of India (the “RBI”) has recently allowed non-banking finance companies (“NBFCs”) to refinance any existing infrastructure or other project loans by way of take-out financing, pursuant to a notification dated June 2, 2016 (the “June 2016 Notification”).

Projects & Project Finance

MINING REFORMS: TRANSFER OF LEASE, A SMOOTHER...

The Central Government has, on May 30, 2016, notified the Minerals (Transfer of Mining Lease Granted Otherwise than through Auction for Captive Purpose) Rules, 2016 (the "Rules"). The Rules are a step forward towards enabling existing holders of mining leases (which were granted otherwise than through auction and being...

CRITICAL ANALYSIS OF THE ARBITRATION AND CONC...

  • on 25/05/2016

After much clamour, the Arbitration and Conciliation Act, 1996 ("Arbitration Act") finally stands amended. The Arbitration and Conciliation (Amendment) Act, 2015 ("Amendment Act"), which received the assent of the President of India on December 31, 2015 and deemed to have come into force on October 23, 2015, has propos...

Intellectual Property

INTELLECTUAL PROPERTY DUE DILIGENCE

In any corporate transaction involving acquiring a business or a stake therein, the acquirer conducts due diligence of the targets’ assets and liabilities, in order to derive comfort that the business is as has been presented to the acquirer and to analyze the risks of the business, as currently conducted.

Banking & Finance, Corporate & Commercial

THE INSOLVENCY AND BANKRUPTCY CODE, 2016

The Insolvency and Bankruptcy Code, 2016 (the “Code”) passed by the Lok Sabha on 5th May, 2016[1] seeks to provide a framework for time-bound settlement of insolvency by formulating a survival mechanism or by ensuring speedy liquidation by a formal insolvency resolution process (“IRP”).

Fund Investment, Venture Capital & Private Equity, Corporate & Commercial

AMENDMENT TO THE FOREIGN EXCHANGE MANAGEMENT ...

The Reserve Bank of India (the “RBI”) notified an amendment to the FEMA 2000 on April 28 2016 by issuing the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Third Amendment) Regulations, 2016 (the “Amendment Regulations”). The Amendment Regulations reflect new pro...

International Law

PROTOCOL AMENDING THE INDIA - MAURITIUS TAX T...

On May 10, 2016, India and Mauritius signed the protocol (the “Amendment Protocol”) amending the Treaty for Avoidance of Double Taxation and Prevention of Fiscal Evasion dated August 26, 1982 (the “Treaty”). The Amendment Protocol intends to tackle issues of treaty abuse, round tripping of funds and curb revenu...

Employment Law

EMPLOYMENT CONTRACTS - ENFORCEMENT OF RESTRIC...

Companies and organizations include "restrictive covenants" in employment agreements, to protect their trade secrets, confidential information and human resources. The restrictive covenants essentially place restrictions and limitations on an employee to deal, solicit or engage with employees, customers, clients of the...

Litigation & Dispute Resolution

ANALYSIS OF THE COMMERCIAL COURTS, COMMERCIAL...

The efficiency of the legal system and the pace at which disputes are resolved by courts are very important factors in deciding the growth of investment and the overall economic and social development of a country. The inefficiency of our justice delivery system is well known and well documented. The Commercial Courts,...

Corporate & Commercial, Fund Investment, Venture Capital & Private Equity

GUIDELINES FOR FOREIGN DIRECT INVESTMENT IN E...

The petition filed by the Footwear Manufacturers & Retailers Association before the High Court of Delhi (the “High Court”) last year, alleging violation by the e-commerce players of the regime governing foreign direct investments (the “FDI”) in India (the “FDI Policy”) and the subsequent order of the Hi...

Intellectual Property

INFOLEX NEWSLETTER - IP

The Office of the Controller General of Patents, Designs and Trademarks released Guidelines for Examination of Computer Related Inventions in the beginning of this year. A set of guidelines was first issued in 2015, but was severely criticized. The said guidelines widened the scope of patenting of software beyond what ...

Banking & Finance, Projects & Project Finance

REVISED GUIDELINES FOR EXTERNAL COMMERCIAL BO...

The Reserve Bank of India (the “RBI”) has recently brought in significant changes to the external commercial borrowing guidelines (the “ECB Guidelines”) with respect to companies in the infrastructure and other related sectors, pursuant to a circular dated March 30, 2016 (the “March 2016 Circular”).

International Law

BITS AND PIECES - INDIA'S BILATERAL INVESTMEN...

Back in March 2015 the Government of India released a draft model bilateral investment treaty (the "Draft BIT") for public consultation and comments, which we analyzed in our earlier article in May 2015.

Corporate & Commercial

THE START-UP PUSH

The Government of India has launched “Startup India” – an initiative to build a strong eco-system for nurturing innovation and start-ups in the country that could drive sustainable economic growth and generate large scale employment opportunities. The Government of India through this programme aims to empower inn...

REVISED THRESHOLDS FOR COMBINATION REGULATION...

  • on 01/03/2016

The Ministry of Corporate Affairs, Government of India (“MCA”) has recently brought in significant changes to the merger control thresholds through three notifications.

Employment Law

CORPORATE INDIA NEEDS TO UP ITS COMPLIANCE OF...

Another challenge facing corporate houses in such situations is the difficulty in collecting evidence while investigating allegations of sexual harassment. "In most cases, the evidence is circumstantial in nature. Generally, such harassments occur in isolated areas, or without witnesses"

Technology, Media & Telecommunications

CLOUD-BASED MESSAGING SERVICES IN INDIA: DATA...

'Cloud Computing' refers to internet based computing that allows access to a pool or network of computing resources that are owned and maintained by a third party via the internet. There is an emerging trend of smartphone companies in India operating a cloud-based messaging service which routes messages sent between se...

International Law, Private Client

AMENDMENTS TO THE CITIZENSHIP ACT, 1955 AND T...

In response to growing demands to introduce dual citizenship from its overseas diaspora, India introduced the concept of the person of Indian origin (a "PIO") in 2002 and an overseas citizen of India (an "OCI") in 2006 as categories of persons who enjoy certain legal rights in India. This article summarises the rights ...

Intellectual Property

INFOLEX NEWSLETTER - IP

In the wake of Prime Minister Mr. Modi’s ‘Make in India’ and ‘Digital India’ initiatives, drafts and inputs were provided to the Indian government in the year 2015 for finalizing India’s Intellectual Property Policy. The IP Policy is yet to be finalized; however, India saw some other developments on the int...

Litigation & Dispute Resolution

AMENDMENTS TO INDIA'S ARBITRATION ACT: AN ANA...

Last month, the Government of India passed the Arbitration and Conciliation (Amendment) Ordinance, 2015 (the "Ordinance") amending the Indian Arbitration and Conciliation Act, 1996 (the "Act") with a view to generally restrict the courts from challenging an arbitration award. This article highlights the key provisions ...

Corporate & Commercial, Fund Investment, Venture Capital & Private Equity, Government & Regulatory

RECENT REFORMS IN INDIA'S FOREIGN DIRECT INVE...

Earlier this month, the government of India eased restrictions on foreign direct investment ("FDI") in India with a view to promoting the 'Make in India' and 'Startup India' initiatives. The reforms are wide ranging and aim to ease doing business, simplifying and rationalizing the process of FDI. The key highlight of t...

RECENT REFORMS IN INDIA’S FOREIGN DIRECT IN...

  • on 01/11/2015

Earlier this month, the government of India eased restrictions on foreign direct investment (“FDI”) in India with a view to promoting the ‘Make in India’ and ‘Startup India’ initiatives1. The reforms are wide ranging and aim to ease doing business, simplifying and rationalizing the process of FDI. The key h...

International Law

WHETHER INDIAN PARTIES CAN CHOOSE FOREIGN LAW...

The question of whether or not Indian parties can choose foreign law to resolve disputes through arbitration has been much debated. While some argue that this is possible since the choice of the party to determine the choice of law must be recognised; the more conservative argument has been that Indian parties cannot a...

Corporate & Commercial, Fund Investment, Venture Capital & Private Equity

REVIEW OF THE EXISTING FOREIGN DIRECT INVESTM...

The Department of Industrial Policy and Promotion, Government of India vide press note 9 dated September 16, 2015 ("Press Note") amended the definition of 'capital' and also added paragraph 3.3.3 in the Consolidated Foreign Direct Investment Policy Circular of 2015 ("FDI Policy"). This amendment would now make it possi...

Energy, Infrastructure & Natural Resources

NEED TO DEVELOP CONTRACTUAL AND REGULATORY ME...

  • on 01/08/2015

Given the large asset size and long life (between 10 to 50 years) of public-private-partnership (PPP) contracts, the stakes are enormous for all parties. It is necessary that these contracts are sustainable throughout the life cycle of the infra project.

Mergers & Acquisitions

INSIDER TRADING: A CONFUSED WATCHDOG?

Historically, regulating insider trading has been the exclusive domain of the Securities Exchange Board of India ("SEBI"). This is in line with the regulatory approach witnessed in most jurisdictions around the world. In consonance with the modern regulatory approach, SEBI not only acts as a watchdog, but it is also em...

Litigation & Dispute Resolution

ARBITRATION IN INDIA – THE WAY FORWARD

With an increase in cross border transactions and open economic policies acting as a catalyst, commercial disputes have been steadily rising. The Indian judiciary has been criticized for an interventionist approach in arbitration, particularly when it involves a foreign party

Mergers & Acquisitions

"MENS REA" IN INSIDER TRADING – A "SINE QUA...

There is no uniform or consistent definition of an 'insider' among the securities regulatory authorities of the world's major financial economies. An insider (in context of insider trading in securities) is anyone who has privileged access to material price sensitive non-public information of the company due to some sp...

Intellectual Property

COMMON, BUT FATAL ERRORS IN SOFTWARE ASSIGNME...

For any commercial agreement dealing with transfer of property (a tangible or an intangible property), it is essential to set out the terms and conditions of the transfer cautiously. The present article highlights some fatal errors that occur when parties entering in agreements for commercialization of copyrights eithe...

International Law

BITS AND PIECES - REASSEMBLING INDIA'S BILATE...

India's Ministry of Finance recently published its draft model bilateral investment treaty in March this year (the "Draft BIT"), inviting comments from the public before planning to roll it out and replace the existing 83 agreements that are currently in place.

Mergers & Acquisitions

NEW INSIDER TRADING REGULATIONS: WOULDN’T L...

  • on 01/05/2015

With effect from May 15, 2015, the new insider trading regulations, notified by the Securities and Exchange Board of India (SEBI) have come into force. The SEBI (Prohibition of Insider Trading) Regulations, 2015 (New Regulations) will replace the SEBI (Prohibition of Insider Trading) Regulations, 1992 (Old Regulations)...

Projects & Project Finance, Energy, Infrastructure & Natural Resources

PPP IN THE RAIL SECTOR - CHALLENGES FOR MODER...

Back in February this year, India announced an ambitious rail budget, proposing to invest almost USD 16 billion in rail projects over the coming year.1 Previously, in December 2014, it had further liberalized the sector to permit foreign direct investment of up to 100 per cent across a range of rail assets, including t...

Nuclear Law, Projects & Project Finance

INDIA: CIVIL NUCLEAR LIABILITY LAW IN INDIA

Back in January this year, India and the United States reached an understanding, in public at least, on the commercial liability of suppliers for nuclear accidents in India. The general understanding appears to be that operators of nuclear facilities in India will continue to remain primarily liable for a nuclear incid...

NEW INSIDER TRADING REGULATIONS: RESTRICTIONS...

  • on 01/05/2015

With effect from May 15, 2015, the new insider trading regulations, notified by the Securities and Exchange Board of India (“SEBI”) have come into force. The SEBI (Prohibition of Insider Trading) Regulations, 2015 (“New Regulations”) will replace the SEBI (Prohibition of Insider Trading) Regulations, 1992 (“1...

Banking & Finance, Technology, Media & Telecommunications

FROM BUCKS TO BITCOINS – ENFORCEMENT OF CRY...

It was circa 1955 when computer was used for the very first time in India and it was circa 1995 that internet services were first launched here. In 2015, one cannot imagine a life without the two. This goes to show how fast we adapt to the advancement in technology and make it a part of our daily lives. In this article...

Technology, Media & Telecommunications

HAPPILY ‘CLICK’ AFTER – THE REAL STORY ...

India is no longer identified by its elephants and snake charmers. This is not because of the dwindling number of elephants or the almost extinct species of snake charmers, in India but because the reason India shines is no longer found in the jungle, unless you consider the Internet a virtual jungle!

Corporate & Commercial

COMPANIES ACT 2013: A NEW SAIL IN LLP REGIME?

The Companies Act 2013 has shaken the way business was conducted in India. The governance ecosystem of the Companies Act, 1956 ("Old Act"), with its laissez faire approach to privately held companies, is now history. The Companies Act, 2013 is driven by three key objectives:

Fund Investment, Venture Capital & Private Equity

WHAT’S IN A NAME: ONLY PREFERENCE AND EQUIT...

What's in a name' - channeling Shakespeare, we looked at the changes in the Companies Act, 2013 ("2013 Act") with respect to preference and equity shares. The scheme of erstwhile Companies Act 1956 ('1956 Act') under Part IV - titled 'Kinds of Share Capital', was two-fold.

Hospitality

MEASURING PERFORMANCE IN A HOTEL MANAGEMENT A...

A hotel management agreement defines the relationship between the owner and the operator of a hotel. The relationship between these two parties is driven primarily by contract and not by equity or property, and as such aligning the interest of both parties is critical. The operator looks at a long-term undisturbed righ...

Fund Investment, Venture Capital & Private Equity

INDIA: CAPITAL RAISE MADE EASY…?

The Companies Act, 2013, ('New Act') attempts to consolidate all the methods available to a company to raise capital. Chapter III and Chapter IV of the New Act sets out all the methods by which any company, whether private or public, could raise capital.

Intellectual Property

CHACHA CHAUDHARY AND CHARACTER MERCHANDISING

In order to understand character merchandising, it is first important to note what is merchandising. Merchandising in its broadest sense, is any practice or plan that contributes to the sale of a product or service to a retail consumer. It encompasses the planning involved in marketing the right product or service at t...

Employment Law

WOMEN'S SAFETY: E-COMMERCE COMPANIES NEED TO ...

When I am alone at home I am not comfortable with them coming into my house, especially when my neighbours aren't home," she says. "It appears the safety aspect is not something that these companies thought of when putting together their business plan," says Priyanka Roy, partner at Indus Law, a firm specialising in th...

Fund Investment, Venture Capital & Private Equity

SHOULD INVESTORS STILL PREFER THE PREFERRED? ...

With the passing of the Companies Act, 2013 (New Act) replacing the Companies Act, 1956 (Old Act), investors have to deal with several new concepts and principles now governing their investments into Indian companies. The government is implementing the New Act in a phased manner but most of the provisions of the New Ac...

Fund Investment, Venture Capital & Private Equity

DEALMAKER: SRINIVAS KATTA, PARTNER AT INDUSLA...

Bar & Bench recognizes Srinivas Katta as the Dealmaker for his role in Softbank’s investment in Snapdeal. We understand that the complex transaction included multiple legal and commercial issues. Katta not only provided valuable legal advice to his client, but also helped the investors and management come togethe...

Insurance

PARLIAMENTARY PANEL FAVOURS COMPOSITE FDI CAP...

A parliamentary select committee, tasked to review the long-standing Insurance Amendment Bill, has recommended a composite limit of 49 per cent on foreign investment, that include foreign direct investment, foreign institutional investment and non-resident Indian investment, in the insurance sector compared with the cu...

Mergers & Acquisitions

CORPORATE LAW FIRMS BENEFIT FROM RISE IN VALU...

Corporate law firms in India are benefiting from an increase in the value of mergers and acquisitions (M&As) and share acquisitions during the course of the year. The enterprise value of deals on which law firms have advised has shot up to $35.7 billion this year till December, a 22% increase over the $29.3 billion...

CERTAIN PRECAUTIONS REGARDING EMPLOYEE LIABIL...

  • on 01/08/2014

Business transfers in India may be accomplished by adopting the asset sale route, or by way of a merger, slump sale etc. The decision to adopt one method over the other is usually driven by factors such as tax implication, stamp duty payable, time-lines for completion etc. The transfer of a business as a going concern ...

Energy, Infrastructure & Natural Resources

RAILWAYS BUDGET: A GRAVY TRAIN FOR THE INVEST...

  • on 01/07/2014

The Railways Budget lacks clear blue print but creates a clear blue water between this budget and any previous budgets. I guess, by now, most of us have deliberated the bold to the fine print of the Railways Budget 2014-15. At the first blush, it looks delightfully vague. Unable to see a clear blue print, the stock mar...

Banking & Finance

INDIA: BANE OF POLICY UNCERTAINTY – NOW IN ...

Foreign direct investments drive the growth of financial markets of a country. While interest rate regulations and other financial indicators are essential ingredients for increasing the volume of foreign direct investment in a country, the legal regulatory regime also provides an impetus to the inflow of foreign inves...

Corporate & Commercial

CORPORATE SOCIAL RESPONSIBILITY

"A good company delivers great products and services but a great company does that and makes the world a better place". This statement by William Ford Junior, Chairman of the Ford Motor Company seems very apt to introduce the topic of corporate social responsibility not just for the statement but because of the person ...

Fund Investment, Venture Capital & Private Equity

BUY-BACK UNDER THE COMPANIES ACT, 2013 – A ...

The provisions relating to buy-back of securities under the Companies Act, 2013 ("Act of 2013") are an attempt to build upon the experience of the current buy back regime (as introduced in Companies (Amendment) Act, 1999) under the Companies Act, 1956 ("Act of 1956"”). An effort has been made by the legislature to br...

RELATED PARTY ARRANGEMENTS UNDER THE COMPANIE...

  • on 01/01/2014

Uncles, aunts, cousins, nephews; in India, ‘related parties’ are everywhere. The existing provisions governing related party transactions when juxtaposed with extant structures and practices in India have seemed largely inadequate. This Article seeks to evaluate whether such concerns have been addressed in the new ...

NATIONAL COMPANY LAW TRIBUNAL - SIGNED, SEALE...

  • on 01/01/2014

The new Companies Act, 2013 ("Act of 2013") proposes seminal changes in the manner in which companies are governed and regulated in India. The law has been substantially restated with an additional focus on creating an elaborate mechanism from an enforcement perspective. In this article, we will be focusing on the crea...

Litigation & Dispute Resolution

ARBITRATION IN INTERNATIONAL COMMERCIAL TRANS...

Arbitration is key to resolving disputes in the global economic scenario and is viewed as a gateway to speedier resolution of disputes. As arbitration rules of most nations have been based on or patterned after the United Nations Commission on International Trade Law (UNCITRAL) Model Laws, arbitration law and practice ...

Corporate & Commercial

LIABILITY OF DIRECTORS FOR DISHONOR OF CHEQUE...

Are all directions of a company deemed to be criminally liable in the event of dishonor of cheque issued by the company? Can they all be prosecuted for the dishonor of the cheque? Is it possible at all for the directors to contend that they are not liable to be prosecuted? In this article, authors answer these question...

Fund Investment, Venture Capital & Private Equity

ARTICLES OF AGREEMENT

A common question that usually arises at the time of closing in a private investment in public equity (PIPE) deal or a private equity or venture capital investment transaction in India is: ‘Which of the provisions in the definitive agreements, relating to the investment, must be captured in the restated Articles of A...

A CRITICAL APPRAISAL OF THE GENERAL ORDER

The erstwhile Controller of Capital Issues (“CCI”), in an attempt to ensure good quality offerings, used to determine the amount vis-à-vis issues that could be raised, and the price at which the securities ought to be priced. The CCI controlled access to the capital markets and at that time, issues also depended o...

Real Estate, Competition Law

THE IMPACT OF CCI’S ORDER ON INDIAN REALTY ...

The recent judgment of the Competition Commission of India (“CCI”) in Belaire Owner’s Association vs DLF Limited has created ripples in the real estate sector. The news has come as another dampener for a sector that is already reeling under the impact of hike in interest rates, dwindling buyers and a looming rece...

Litigation & Dispute Resolution

JURISDICTION OF COURTS OVER ARBITRATIONS HELD...

The Arbitration and Conciliation Act, 1996 (“Act”) initially caused some concern for Indian parties entering into commercial contracts with foreign collaborators. The primary reason of concern was that in cases where the Indian party has been bulldozed into agreeing to expensive arbitration proceedings abroad, it a...