Delhi High Court Sends OYO-Hotelier Dispute to Arbitration Over Hyperlinked Clause

The Delhi High Court referred a dispute between OYO (Oravel Stays Pvt. Ltd.) and hotelier Nikhil Bhalla to arbitration, upholding the enforceability of an arbitration clause embedded in hyperlinked Terms and Conditions. 

Bhalla had challenged the clause, claiming it was not specifically referenced in the agreement. The Court held that Clause 15 of the MOCA clearly incorporated the Terms and Conditions published on OYO’s website, and that the arbitration clause applied to disputes over non-compliance.

The Court ruled that once such clauses are validly incorporated, they are binding even if accessed via hyperlinks. The commercial suit was terminated accordingly.