In the ongoing legal dispute between BharatPe and its former Managing Director Ashneer Grover over the confidentiality and employment terms, the Delhi High Court in a latest development has directed the two parties to settle the dispute through an arbitration.
The decision was issued by the Delhi HC on Thursday, August 22, by Justice C Hari Shankar. It aimed at resolving the issues stemmed from Grover’s alleged breach of August 2021 employment agreement.
Background of the Dispute
The legal dispute between the two parties began when the fintech company BharatPe alleged Grover of leaking sensitive information about the company on the social media platform.
Ashneer Grover | BharatPe
The fintech company claimed that these disclosures compromised confidentiality, especially regarding details of their USD 370 million Series E funding round in 2021.
The company argued that that such breaches violate the terms of Grover’s employment agreement, even after his resignation.
The fintech company, in response to these accusations, filed a plea seeking arbitration. However, Grover deleted the posts on social media and issued an apology but the fintech company still believes that Grover still retains the sensitive information that he is not entitled to after his exit from the company.
Court’s Decision and Proceedings
Justice C Hari Shankar's ruling mandates the appointment of a sole arbitrator to address the dispute.
The arbitration will be conducted under the auspices of the Delhi International Arbitration Centre, rather than the Singapore International Arbitration Centre, as originally suggested by BharatPe.
The fintech company, in response to these accusations, filed a plea seeking arbitration | Image: BharatPe (Representative)
Although, Grover has not contested the formation of an arbitral tribunal but has conveyed his disagreement with BharatPe's choice of the sole arbitrator.
Apart from this, the court order also reflects the ongoing complexity of the legal battle, which also includes a civil suit alleging embezzlement and seeking damages amounting to Rs 88.67 crore from Grover and his family.
