Cassation Court Upholds Award Against Honasa Consumer in Dubai Litigation, Arbitration Favorable to Company
The Dubai-based Cassation Court has delivered a judgment regarding ongoing litigation involving Honasa Consumer Limited and RSM General Trading LLC. The court upheld a prior award, awarding compensation to RSM, while the company noted a favorable Arbitral Award granted by an Indian Tribunal earlier in the dispute process.Receiving the translated copy of the judgment on August 7, 2026, Honasa Consumer confirmed that the Cassation Court dismissed the appeals filed by both parties. The court affirmed the judgment issued by the Court of Appeal on February 11, 2026, which granted RSM an award of AED 1,707,407.06 (equivalent to INR 4,43,12,369/) as compensation for material and moral damages. The court rejected the appeal by RSM, which had sought damages amounting to AED 45,000,000.
Against the backdrop of the Dubai proceedings, Honasa Consumer noted that an Arbitral Tribunal appointed by the Supreme Court of India had previously issued an Arbitral Award on May 14, 2025 (and amended via a Section 33 Order on June 26, 2026).
The Arbitral Award in favor of Honasa Consumer Ltd. included two main reliefs:
- RSM is permanently enjoined from initiating or continuing any proceedings against the Company before the Dubai Courts related to the Agreement.
- RSM shall pay damages to the Company corresponding to any amount sought following decisions made by a Dubai Court concerning the termination of the Agreement, including the judgment dated February 11, 2026, and any subsequent appellate or revisional orders.
In view of these reliefs granted by the Arbitral Tribunal, Honasa Consumer stated it expects no financial impact from that specific Award.
Furthermore, the company noted a legal caveat concerning jurisdiction. Under the Civil Procedure Code, 1908, the Cassation Court Judgment may not be conclusive or binding upon the Company, as the governing law of the Agreement between the parties is Indian law and disputes are subject to arbitration or exclusive jurisdiction of New Delhi courts.
HONASA Stock Price Movement
On Friday, shares of Honasa Consumer Limited edged higher, gaining 2.07% to settle at ₹477.6. The stock traded on a volume of 982,060 shares during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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