Key Development: Cassation Court Judgment
- The Cassation Court, Dubai, UAE, passed a judgment on July 29, 2026.
- The Company received the translated copy of this judgment on August 07, 2026, at 16:35 pm (IST).
- The Cassation Court dismissed the Appeals filed by both Honasa and RSM.
- The Court upheld the judgment issued by the Court of Appeal on February 11, 2026.
- The upheld judgment awards an amount of AED 1,707,407.06 (Indian Rupees 4,43,12,369) to RSM as compensation for material and moral damages.
- RSM's appeal had sought significantly higher damages of AED 45,000,000, which was categorically rejected by the Cassation Court.
Context: Indian Arbitral Award
- An Arbitral Tribunal appointed by the Supreme Court of India (the "Indian Arbitral Tribunal") had previously passed an Arbitral Award in favor of the Company.
- The Award is dated May 14, 2025, and was amended by a Section 33 Order dated June 26, 2026.
- The Arbitral Award provides two key reliefs to the Company:
1. RSM is permanently injuncted from initiating or continuing any proceedings against the Company before the Dubai Courts.
2. RSM shall pay to the Company damages aggregating to any amount sought to be recovered from the Company pursuant to any Dubai Court decision (including the upheld judgment of Feb 11, 2026, and any appellate orders).
Stated Financial Impact
- The Company expects no financial impact from the Cassation Court judgment due to the protective reliefs granted by the Indian Arbitral Award, which obligates RSM to pay any amounts awarded to it back to Honasa.
Legal Position and Governing Law
- The Company states that under the governing provisions of the Civil Procedure Code, 1908, the Cassation Court Judgment may not be conclusive and binding upon it.
- This position is based on the fact that the governing law of the agreement between the parties is Indian law, and the disputes are subject to arbitration or the exclusive jurisdiction of courts in New Delhi.