Delhi High Court Protects US Company I-Chrono LLC in a Software Dispute, Orders Preservation of Source Code Against Fluper Limited
King Stubb & Kasiva successfully represented I-Chrono LLC, a United States-based company operating an online marketplace for luxury watches, before the Delhi High Court in a commercial suit against Fluper Limited concerning the development of its proprietary mobile application and website.
The dispute arises out of a series of software development agreements entered into between I-Chrono and Fluper for the development of I-Chrono’s digital platform. I-Chrono fully discharged its payment obligations under the First Agreement and also made substantial payments under the subsequent agreements, with the understanding that it would receive complete ownership and delivery of the source code and all related development materials.
According to the suit, despite receiving the entire consideration payable under the First Agreement and substantial payments under the remaining agreements, Fluper allegedly withheld the source code and other critical project materials, thereby preventing I-Chrono from independently operating, maintaining, and further developing its technology platform. I-Chrono has contended that such conduct amounts to a breach of the contractual obligations as well as the trust reposed in Fluper as its software development partner.
Recognising the urgency of the matter, the Delhi High Court granted ad interim relief directing Fluper to preserve the source code, repositories, project files, credentials and all related development materials. The Court further restrained Fluper from destroying, altering, transferring, disseminating, distributing or otherwise dealing with the source code and related materials in any manner that may prejudice I-Chrono’s rights during the pendency of the proceedings.
The order highlights the proactive approach of Indian courts in safeguarding the commercial and intellectual property interests of foreign businesses and protecting them against alleged arm-twisting tactics, including the unlawful withholding of proprietary software assets.
The matter is presently pending adjudication before the Delhi High Court.
The Plaintiff, I-Chrono LLC, was represented by Senior Advocate Rajshekhar Rao, along with the King Stubb & Kasiva team comprising Adv. Sukrit R. Kapoor (Partner), Adv. Aayushya Aankul (Principal Associate) and Adv. Kumari Tanya (Associate) before the Delhi High Court.
