In Brief
Globe Ground India Employees Union challenged the dismissal of a review petition in an industrial dispute against Lufthansa German Airlines. The Union argued Lufthansa, as parent company of Globe Ground Deutschland GmbH (which held 51% shares in the service operator), was a necessary party to the proceedings and should be held liable for the subsidiary's actions. The Supreme Court held that the Labour Court must confine adjudication to the Government-referred dispute points. The doctrine of piercing corporate veil applies only when the corporate form is misused for wrongful purposes. Here, joint ownership (51%-49%) and absence of misuse precluded piercing the veil. The appeals were dismissed as devoid of merit.
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