Bollywood superstar Salman Khan has finally finished its legal struggle with gymnastics equipment manufacturer Jerai Fitness PVT Ltd. The actor reportedly drew his insolvency foundation after both sides reached a solution in an RS 7.24 Crore payment dispute linked to his fitness brand strong.
Dispute attached to Salman Khan’s fitness brand
As reported by Bar and Bench, the dispute began when Salman Khan, because his brand was strong, was part of a brand agreement with Jerai Fitness. The event started in 2018, was revised in 2019 and renewed with a new contract in August 2023.According to the terms, Jerai was able to manufacture, market and sell gym equipment using the strong name. The company was obliged to pay RS 3 crore annually or 3% of net sales, depending on what was higher.Khan claimed that Jerai failed to make payments that amounted to RS 7.24 Crore, including a one -time settlement of 1.63 crore for fees before March 2023 and royalties in recent years. After repeated delays, he contacted the National Company Law Tribunal (NCLT) in Mumbai and sought a corporate resolution process (CIRP) against the company.
Jerai fitness challenges Salman Khan’s accusations
Jerai Fitness denied the charges and claimed that it was actually Khan who did not meet his obligations under the contract. The company stated that the actor did not approve product design and marketing material in time and also skipped the launch of its “Proton” series at the Bombay Exhibition Center in November 2023.Jerai supported her claims with WhatsApp notifications and e -mail messages showing repeated requests for approvals and trademark support. The company further claimed that the invoices quoted by Khan were raised after a termination message was issued in September 2024, as of April 2025, and therefore could not form the basis for an insolvency foundation.
NCLT rejects the foundation of existing dispute
The report also reveals on May 30, 2025, NCL rejected Khan’s production of section 9. While the court accepted that RS 1.63 crore payment was undisputed, it found that the remaining royalty amount was part of a real existing dispute over Khan’s result of the contract.NCLT noted: “The right to receive payment under the said agreement in relation to the minimum guarantee only when the user has the opportunity to use such a trademark in the form and manner intended.”It concluded that the case belonged to the recovery category, not insolvency under insolvency and bankruptcy code (IBC). Khan later appealed against the decision to the National Company Law Appellate Tribunal (NCLAT).
Consent conditions submitted for the NCLAT bench
On October 6, Salman Khan’s legal representatives informed that both parties had implemented consent to resolve the dispute. Appellate Tribunal Bench, consisting of Chairman Justice Ashok Bhushan and the technical member Arun Baroka, allowed time to submit a commitment and interrupted the matter until October 8.When the case was resumed, the terms of consent were placed on the post, and Khan’s insolvency appeal is officially withdrawn, which abolished the matter.
Salman Khan on the work front
Salman Khan is currently hosting the last season of the reality show, ‘Big Boss’. On the front of the movies he prepares for ‘Battle of Galwan’, directed by Apoorva Lakhia.The disclaimer for this article: This article is based on reports on a legal issue and the settlement reached between the parties involved. The information presented is only for information purposes and originates from public court applications and media reports. The information in the settlement, including the financial conditions, is based on available reports and is not verified by the individual parties unless they specified in a public announcement. The article is not intended as legal advice or a definitive statement on facts in addition to what has been reported in the public area.
