In Brief
Indian Oil Corporation terminated R.M. Service Centre's dealership for violating Marketing Discipline Guidelines—specifically for stock variations exceeding permissible limits and failed quality testing. The dealership agreement allowed termination for such critical irregularities. While the dealer argued the termination violated natural justice principles due to lack of prior notice, the Court held the breach sufficiently serious and the dealer was given opportunity to request umpire sample testing after notification. The Court allowed the appeal, upholding the dealership termination as valid and legally justified under the contractual guidelines.
The lawyer headnote and full judgment text are available to registered users.