Ranbaxy
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This document summarizes a family dispute over the will of Bhai Mohan Singh, the founder of Ranbaxy Laboratories. It outlines the key facts of the case, including that Bhai Mohan Singh left most of his estate to his grandson Analjit Singh in his 2005 will. However, his sons Parvinder Singh and Manjit Singh contested the will. After negotiations, Analjit Singh reached a settlement in 2006 with Parvinder Singh's wife and sons, transferring shares in Ranbaxy to them while retaining the rest of the properties for himself. Manjit Singh did not participate in the settlement agreement.
Ranbaxy
- 1. Business Law Presentation Ranbaxy Family Dispute
- 2. Efforts by- Maitri Khanna Manmeet Singh Pankaj Bansal Vinit Gupta Manali Rajwani Janmai Jai Dhyani Robin Mittal
- 3. What Is Contract? According to Section 2(h) of the Indian Contract Act, 1872, A contract is an agreement enforceable by law, made between atleast two parties by which rights are aquired by one and obligations are created on the part of another.If the party , which had agreed to do something, fails to do that, then the other party has a remedy.
- 4. Elements Of a Contract Offer & Acceptance Legal Relationship Lawful Consideration Competency Consent
- 5. Elements (cont.) Legality Of Objects Certainty Of Objects Possibility Of Performance Legal Formalities
- 6. Expressed & Implied Contract An expressed contract is one which is written and every term and condition of the contract is specified in the contract deed. Implied contract is one which is implied by the conduct of the parties involved and may or may not be written.
- 7. Company Profile (Ranbaxy) Bhai Mohan Singh takeover Ranbaxy from Mr. Ranjit Singh and Dr. Gurbux Singh of Amritsar who were distributors of a Japanese pharmaceuticals company. Ranbaxy Labs went public in 1973. Ranbaxy ltd., Indias largest pharmaceuticals company Produces a wide range of affordable generic medicines. The companys largest market is USA followed by Europe and BRIC (Brazil, Russia, India & China)
- 8. Board Of Directors- Mr. Tejendra Khanna Dr. Brian W. Tempest Mr. Malvinder Mohan Singh Mr. Ramesh L. Adique Mr. Vinay K. Kaul Mr. Harpal Singh Mr. P.S. Joshi Mr. Surendra Daulat Singh Mr. Vivek Bharat Ram Mr.Shivinder Mohan Singh
- 9. Current Position Holdings Mr. Analjit Singh- CEO Max Hospitals Ltd. Mr.Malvinder Mohan Singh-CEO Ranbaxy Laboratories. Mr. Shivinder Mohan Singh- CEO Fortis Healthcare.
- 10. Facts Of The Case 1952 - Bhai Mohan Singh takes over Ranbaxy. 1973 - Ranbaxy lists on Bourses 1985 - Bhai Mohan Singh turns over a license to make 6APA, a vital drug, to youngest son Analjit Singhs Max Pharma. Max makes more money than Ranbaxy. Bhai Mohan Singh rejects Parvinders demand to make the same ingredient. It sparks a rift between father and eldest son. 1990 - Family settlement splits the Ranbaxy group 3 ways. Bhai Mohan expected to stay on as Chairman of Ranbaxy till his death.
- 11. Facts 1993- Bhai Mohan Singh forced to leave Ranbaxy as he and Parvinder Singh failed to agree on the way forward. He also filed a petition against Parvinder. Later on his relations with Manjit , his middle son, also became bad. Aug 25,2005- Bhai Mohan Singh executed his last will in presence of Prem Sobti and Vipin Malik. March 28,2006- Bhai Mohan Singh dies.
- 12. 14 crores were given to Manjit on a specific assurance that he would repay the amount after making profits from his sales. The money was never returned. Bhai Mohan singh was upset because of his sons work and bad reputation that he brought.
- 13. Facts May 22,2006- Analjit files a probate application to seek courts endorsment regarding authenticity of the will through Delhi based law firm KR Chawla & Co. May 24,2006- Malvinder and Shivinder duo and Manjit Singh issue separate notices to the biggest beneficiary of the will-Analjit Singh. Manjit challenged as Bhai Mohan Singh did not bequeath anything to him. Malvinder and Shivinder contested it because of the disputed Trust Shares .
- 14. Facts June 02,2006- Process of arriving at an out-of-court settlement begun. Analjit and Malvinder-Shivinder had rounds of discussions to amicably resolve the issue of disputed Ranbaxy shares. No attempt of settlement with Manjit Singh. July 04,2006- Nimmi Singh filed a police case against Analjit alleging that his men intruded into the other side of the joint property on Aurangzeb Road.
- 15. Facts July 20,2006- Analjit slaps four cases including a defamation petition against Nimmi Singh. July 31,2006- Analjit reaches a settlement with Parvinders wife Nimmi and sons, Malvider ad Shivinder. All disputes and claims will be resolved. All 33 cases and suits in various courts to be withdrawn. Manjit Singh is not party to the ageement.
- 16. The Settlement Out-of-court settlement. Analjit grants the Bunglow No.1 SouthEnd Lane to Nimmi Singh. Bhai Mohan Singhs shares in Ranbaxy get transferred to sons of late Dr. Parvinder Singh. The transfer to Parvinder was held up since early 90s due to peding litigation. Analjit sole legal heir to rest all properties.
- 17. Student Analysis According to us it is a case of Offer & Acceptance. Initially Malvinder ad Shivinder did not accept their grandfathers will but after discussions when Analjit offered them their shares in property, they who contested the will, accepted it.
- 18. The case may also be seen as a case of undue influence. Bhai Mohan Singh had bad relations with Parvinder since early 90s. In his last stages he was in pain because of his relations with Parvinders family. His relations with Manjit also worsened. The only support he had was through Analjit (emotional support) and he made Analjit the biggest beneficiary.
- 19. In another context the case may be looked upon as a case of Coercion. According to Nimmi Singh, Analjit sent his men who intruded other side of the home at Aurangzeb Road who threatened and abused Nimmi Singh. Hence, Coercion.
- 20. Thank You Faculty- Ms. Monica Suri