JUDGMENT

[VIA VIDEO CONFERENCING]

SANJEEV NARULA, J. (Oral):

I.A. No. 7085/2021 (u/Order XXXIX Rules 1 and 2 r/w Section 151 of the Code of Civil Procedure, 1908, for ad-interim injunction)

I. The Dispute:

1. Plaintiffs jointly conduct business of operating a chain of pizzerias under the name and style of ‘LA PINO’Z PIZZA’ by granting franchises under a master-franchise model, wherein they appoint a master-franchise in one state - which is given the right to appoint sub-franchise outlets in cities of that state - and assist it in establishing their business. Under this arrangement, Plaintiff No. 1 vide a ‘Master Franchisee Agreement’ dated 13th June, 2007, appointed Defendant No. 1 as the master-franchise in the state of Gujarat. It operated five self-owned LA PINO’Z PIZZA franchise outlets in Ahmedabad, and issued sub-franchises to other outlets in the state of Gujarat, for which certain tripartite agreements were executed. In the beginning of March, 2021, Plaintiff No. 1 started receiving complaints from its sub-franchise in Gujarat (other than Ahmedabad) about non-cooperation of their Master Franchisee Agreement. Disputes aggravated, leading the parties herein to execute a Terminati