Delhi High Court dismisses GCD Prime's stay petition regarding DCM-GCD Joint Development Agreement
The Delhi High Court dismissed a Section 9 petition filed by GCD Prime against DCM Limited, ruling that the petitioner failed to establish grounds for interim relief concerning the dispute over their Joint Development Agreement (JDA). The order was pronounced on July 28, 2026.The matter pertains to the JDA executed between the two companies in August 11, 2022, regarding DCM Limited's land parcel admeasuring approximately 68.35 acres situated in Hisar, Haryana. The dispute arose after DCM issued a Notice of Forfeiture and Termination to GCD Prime on November 1, 2025.
The petition filed by GCD Prime sought interim relief from the court, including a stay on the operation of the termination notice and restraining DCM Limited from interfering with GCD Prime's legal rights over the subject land or creating any third-party interests.
In assessing the claim for interim relief under Section 9 of the Arbitration and Conciliation Act, 1996, the High Court examined the nature and terms of the JDA, which is based on a profit-sharing model between the parties. Under the agreement, DCM Limited was entitled to receive 55 percent of the net sale revenue from the project, with the remaining 45 percent allocated to GCD Prime.
The court held that since the development was undertaken on this profit-sharing basis and not as a conveyance deed or transfer of ownership interest in the land itself, there is no proprietary or possessory right created in favor of GCD Prime over the subject land under the JDA. Consequently, the court found that there was no irreparable loss or injury to GCD Prime that could not be compensated through financial means should the company succeed before the Arbitral Tribunal.
The judgment emphasized that the JDA contained a clause stipulating that disputes between the parties must continue to be performed by performing obligations not related to the dispute, provided such performance is not prejudiced by the final determination of the dispute. The court concluded that GCD Prime's contention regarding the limitation on their rights was misconceived given the contractual terms of the agreement.
DCM Stock Price Movement
DCM Limited shares closed today, slipping by 0.22% after settling at ₹89.70. The stock saw limited activity in post-market trading, recording a volume of 474 shares.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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