OYO Moves Supreme Court Against Gujarat HC Ruling On Arbitral Award Execution In Dispute with Meridian Hotels

OYO Hotels and Homes Pvt Ltd has approached the Supreme Court challenging a Gujarat High Court ruling that declined to interfere with execution proceedings enforcing an arbitral award in favour of Meridian Hotels Pvt Ltd in a dispute arising out of a hotel management agreement.

The matter is likely to be heard on May 11 by a bench of Justices P.S. Narasimha and Alok Aradhe.

The ruling under challenge was delivered on February 19, 2026.

The dispute stems from a 2018 Management Services Agreement for the operation of a hotel in Ahmedabad, under which a sole arbitrator awarded about Rs. 1.85 crore to Meridian Hotels. With interest, the amount sought in execution rose to about Rs. 2.49 crore.

At the heart of the case is the enforcement of the arbitral award and the question of territorial jurisdiction. After OYO's challenge to the award under Section 34 of the Arbitration and Conciliation Act was dismissed, execution proceedings were pursued, leading to attachment of its bank account and a direction to deposit 50% of the awarded amount along with interest. OYO objected, arguing that the account was located in New Delhi and fell outside the territorial jurisdiction of the Ahmedabad court.

Rejecting OYO's contention, the Gujarat High Court declined to interfere with the execution orders. It upheld the view that in a core banking system, a bank account cannot be confined to a single branch and that such an interpretation should not defeat execution proceedings.

Holding that jurisdiction could be invoked where the bank's registered office is situated, the High Court found no reason to interfere with the orders passed by the executing court.

OYO has now moved the Supreme Court, challenging this interpretation.