Salman Khan Withdraws ₹7.24 Crore Insolvency Plea Against Jerai Fitness After Settlement

Actor Salman Khan has withdrawn his ₹7.24 crore insolvency petition against Jerai Fitness Limited after both parties reached a settlement.

On Wednesday, the National Company Law Appellate Tribunal (NCLAT) recorded the consent terms and allowed the withdrawal. The bench comprised Chairperson Justice Ashok Bhushan and Technical Member Arun Baroka.

The dispute related to unpaid dues under a 2018 trade licence agreement, under which Jerai Fitness was granted rights to use the “BEING STRONG” trademark owned by Salman Khan for manufacturing and selling fitness equipment.

Khan claimed Jerai defaulted on royalty payments, even after the amounts were revised due to COVID-19-related disruptions. A demand notice was sent on September 14, 2024, seeking ₹7.24 crore with 24% interest.

Khan approached the Mumbai bench of the National Company Law Tribunal (NCLT) alleging default. However, in May 2025, NCLT dismissed the plea, stating that only ₹1.63 crore of the amount was undisputed and the rest involved pre-existing contractual disputes.

Following the dismissal, Khan moved NCLAT in appeal. The matter was earlier listed for hearing on October 6, 2025, before being adjourned.

With the settlement now on record, the appellate tribunal has disposed of the matter.

Case Name: Salman Khan v. Jerai Fitness

Case Number: Comp. App. (AT) (Ins) No. 1235 of 2025

For Salman Khan: Advocates Parag Khandhar, Varun Kalra, Tapan Radkar and Shaham Ulla instructed by DSK Legal.

For Jerai Fitness: Advocates Himanshu Satija Pranav Saigal Harshit Khanduja