Is interest payable to retiring director?

Raghav Behani (Chartered Accountant) (944 Points)

18 March 2016  

XYZ Pvt. Ltd. has 3 Directors - A, B and C. All 3 had equally contributed Rs. 30 Lakhs for starting the company. The MOU has a clause - In case a director decides to leave the company, his share will be purchased by the other 2 directors equally. 

Payment term: 20% within 2 months of leaving, Rest 80% within 2 years.

Can the retiring director claim interest on the balance 80% if the MoU is silent on this?