Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 05 JUNE 2023

Moratoriums Under Insolvency And Bankruptcy Rules

S.S. Rana & Co.
S.S. Rana & Co.
Contributor
S.S. Rana & Co.

S.S. Rana & Co.

Established in 1989, S.S. Rana & Co. is a premier intellectual property and corporate law firm...

View firm profile
Explore more from S.S. Rana & Co.

The law regarding moratoriums imposed under Section 14 of the Insolvency and Bankruptcy Code (hereinafter referred to as the IBC 2016) has been often explained and clarified...

IndiaInsolvency/Bankruptcy/Re-Structuring
Nihit Nagpal
Nihit Nagpal
Zahra Naqvi
Zahra Naqvi
Author LinkedIn connections

The law regarding moratoriums imposed under Section 14 of the Insolvency and Bankruptcy Code1 (hereinafter referred to as the IBC 2016) has been often explained and clarified by various judicial pronouncements, which aptly interpret the multitudes contained in Section 14 of the IBC.

Recently, the Hon'ble Kerala High Court held that the corporate debtors who have a moratorium issued against them are momentarily safeguarded from any further prosecution under the Negotiable Instruments Act of 18812 (hereinafter referred to as the NI Act, 1881), and prosecution would thus stand deferred. However, the benefits of moratorium against prosecution under Section 141 of the NI Act shall not be available to non-corporate debtors/natural persons, possibly on account of the fact that Non-Corporate debtors/natural persons are presently not covered by IBC proceedings, and the said non-corporate debtors/natural persons shall not cease to be statutory liable under Chapter XVII of

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

The Insolvency And Bankruptcy Code (Amendment) Act, 2026

India's Insolvency and Bankruptcy Code undergoes significant reform through the 2026 Amendment Act, introducing stricter timelines, enhanced creditor oversight, and frameworks for group and cross-border insolvency. The amendments address persistent challenges in resolution efficiency, withdrawal restrictions, and fraudulent transaction scrutiny while aligning with international best practices to strengthen investor confidence.
IndiaInsolvency/Bankruptcy/Re-Structuring
Mansukhlal Hiralal & Company
Mansukhlal Hiralal & Company
Article

The IBC Amendment Act, 2026: Reshaping Real Estate Insolvency

The Insolvency and Bankruptcy Code (Amendment) Act, 2026 (‘Amendment Act’), which amends the Insolvency and Bankruptcy Code, 2016 (‘Code’), received Presidential assent on April 6, 2026. Most amendments took effect on May 26, 2026. However, three significant mechanisms the accelerated admission deadline, creditor-initiated resolution, and group insolvency have been enacted but have not yet come into force and will take effect only upon the issuance of a commencement notification by the Central Government under the applicable provisions of the Code.
IndiaInsolvency/Bankruptcy/Re-Structuring
Shardul Amarchand Mangaldas & Co
Shardul Amarchand Mangaldas & Co
Article

IBC Update - Removal Of Interim Moratorium For Personal Guarantors Apples To Pending Proceedings

The Bombay High Court recently addressed a critical question regarding the temporal application of Section 96(4) of the Insolvency and Bankruptcy Code, which removed the interim moratorium protection for personal guarantors of corporate debtors. The ruling clarifies whether this amendment applies only to fresh applications filed after its enactment or extends to insolvency proceedings that were already pending when the law changed. This decision has significant implications for creditors seeking to pursue p
IndiaInsolvency/Bankruptcy/Re-Structuring
Mansukhlal Hiralal & Company
Mansukhlal Hiralal & Company
Article

The End Of The “Settlement Exit”? — The Stricter Section 12A Regime Post-2026 Amendment

For nearly eight years, the Insolvency and Bankruptcy Code, 2016 (IBC) carried within it a quiet contradiction. On the one hand, it was designed to be a serious, time-bound, collective resolution mechanism and a creditor-driven process. On the other hand, it contained Section 12A, a provision that became one of the most strategically exploited exits in Indian commercial law.
IndiaInsolvency/Bankruptcy/Re-Structuring
Foresight Law Offices
Foresight Law Offices
Article

Use Of Artificial Intelligence (AI) In Courts

On June 3, 2026, the Supreme Court of India’s AI Committee released preliminary draft of the Regulations for Use of Artificial Intelligence (AI) in Courts, 2026 (“The Draft”). This marks a shift from scattered experiments with AI tools for translation, transcription, research and case management. With over 93,000 pending matters as of March 2026, the guidelines aim to ease processes for officials and citizens. AI could help reduce backlogs through automated cause-list preparation, transcription, research, and defect scrutiny, but its use also raises serious concerns.
IndiaTechnology
S.S. Rana & Co.
S.S. Rana & Co.
Article

Copy, Right? ANI Media Pvt. Ltd. v. Open AI OpCo LLC

When an artificial intelligence system is trained on copyrighted news content, and later answers a user’s question using what it learned, has the law been broken? On 24th July 2026, the Delhi High Court answered that question, at least for now. In ANI Media Pvt. Ltd. v. Open AI OpCo LLC, Justice Amit Bansal declined to grant an interim injunction against OpenAI, holding, on a prima facie, interim stage view, that the company’s use of ANI’s news content to train its large language models (“LLMs”) falls within the fair dealing exception under Section 52(1)(a) of the Copyright Act, 1957
IndiaIntellectual Property
S.S. Rana & Co.
S.S. Rana & Co.
Article

FSSAI Raises Turnover Limits For Food Business Registration And Licensing

The change is effected through two instruments: the Food Safety and Standards (Licensing and Registration of Food Businesses) Amendment Regulations, 2026, notified via gazette on 10th March, 2026[1] (the “Amendment Regulations”), and a subsequent implementation order dated 13th March, 2026[2] (the “Order”) issued by FSSAI directing all licensing authorities to apply the revised thresholds with effect from 1st April, 2026.
IndiaFood, Drugs, Healthcare, Life Sciences
S.S. Rana & Co.
S.S. Rana & Co.
Article

Understanding The 50% Wage Rule Under The Code On Wages, 2019: A Cap On Exclusions, Not A Ceiling On Wages

India’s new labour code framework, comprising four consolidated codes enacted between 2019 and 2020, represents the most comprehensive overhaul of employment laws since independence. Among these, the Code on Wages, 2019 (hereinafter referred to as the “Code”) amalgamates the Payment of Wages Act, 1936; the Minimum Wages Act, 1948; the Payment of Bonus Act, 1965; and the Equal Remuneration Act, 1976, into a single, unified enactment.
IndiaEmployment and HR
S.S. Rana & Co.
S.S. Rana & Co.
Article

Consumer Protection (E-Commerce) (Amendment) Rules, 2026: Recalibrating E-Commerce Compliance Across The Indian Data Privacy Framework

The Department of Consumer Affairs, Government of India, has amended the Consumer Protection (E-Commerce) Rules, 2020 through the Consumer Protection (E-Commerce) (Amendment) Rules, 2026, with the objective of strengthening consumer protection while facilitating a transparent and balanced regulatory framework for the e-commerce sector.
IndiaConsumer Protection
S.S. Rana & Co.
S.S. Rana & Co.