Foreign investors looking to invest in India usually require clear exit options. However, over the years a spate of shareholder disputes resisting the invocation of put options on the grounds of their impermissibility under Indian securities and foreign exchange laws had raised serious concerns. In this article, we analyse recent developments before the Supreme Court of India and the Calcutta High Court, affirming the pro-investor and pro-enforcement stance of the judiciary.
Most compliance teams the world over focus on training their employees to avoid making improper payments to foreign officials for securing business advantages. However, in rare scenarios, companies may face situations where an improper payment is demanded while its employees face threats of physical danger in a foreign country. In this article, we analyse an opinion issued by the United States Department of Justice that can be useful for companies navigating situations where demands are made pursuant to an extortion attempt or putting the company under duress. We also contrast it with Indian law and provide practical tips for companies to lawfully navigate such requests.