Delhi High Court sends Medikabazaar–Vivek Tiwari dispute to arbitration
Justice Jyoti Singh passed the order under Section 9 of the Arbitration and Conciliation Act, 1996, after both parties agreed to resolve the matter privately. Tiwari had approached the court seeking an urgent stay on a termination letter issued by the company in August.
The Delhi High Court has referred a contentious dispute between Medikabazaar (Boston Ivy Health Care Solutions) and its co-founder and CEO Vivek Tiwari to arbitration, in a move that adds a legal dimension to the turmoil at one of India’s most prominent B2B healthtech startups.
Justice Jyoti Singh passed the order under Section 9 of the Arbitration and Conciliation Act, 1996, after both parties agreed to resolve the matter privately. Tiwari had approached the High Court seeking an urgent stay on a termination letter issued by the company on August 23, 2024, and an injunction against any action that could compromise his promoter rights or his role in day-to-day management.
Arbitration is a private form of dispute resolution in which parties present their case before appointed arbitrators rather than the courts. It is commonly used in commercial conflicts for its confidentiality and quicker timelines.
Tiwari’s legal challenge centres around two closely linked contracts: a shareholders’ agreement (SHA) dated March 17, 2022, and an employment agreement (EA) from September 1, 2021. Both contain separate arbitration clauses. The court acknowledged the interconnected nature of the agreements and granted Tiwari the liberty to seek consolidation of the proceedings before the arbitral tribunal.
The court noted that both sides consented to arbitration. Tiwari nominated Justice Rajiv Shakdher, former chief justice of the Himachal Pradesh High Court, while the respondents—including current stakeholders of Medikabazaar—nominated Justice GS Sistani, a former judge of the Delhi High Court. The two arbitrators will now appoint a presiding arbitrator, and proceedings will be conducted under the rules of the Delhi International Arbitration Centre.
“I have unwavering faith in the legal process and remain committed to resolving this matter with transparency and integrity,” Tiwari said in a statement, adding that the agreements in question “clearly define my role and responsibilities.” He also categorically denied recent allegations against him and said he would respond to them through the appropriate legal channels.
Founded in 2015, Medikabazaar grew rapidly by digitising procurement for hospitals, clinics, and diagnostics chains, particularly in underserved Tier II and Tier III cities. Its tech-driven supply chain model attracted marquee backers such as British International Investment (formerly CDC Group), HealthQuad and positioned the company as a key player in India’s healthcare infrastructure buildout.
But in recent months, the company has faced escalating internal and external pressure. In early 2024, its statutory auditor, PwC, resigned, citing unresolved concerns around financial disclosures and governance. The departure triggered investor unease and internal boardroom friction. Tiwari’s subsequent ouster from the company’s leadership and operations has added to the crisis.
While the court made no observations on the merits of the case, the initiation of arbitration marks a significant escalation in the company’s ongoing governance battle. The arbitral tribunal is expected to examine Tiwari’s claims and determine whether his termination breached the contractual obligations set out in the SHA and EA.
Edited by Kanishk Singh