Update: Recent Case-Laws On Insolvency And Bankruptcy Code

We are sharing updates on some recent Indian case-laws on insolvency matters that have contributed to developing the insolvency jurisprudence. The same are given below.

I. WHETHER NCLT CAN EXERCISE ITS RESIDUARY JURISDICTION UNDER SECTION 60(5)(C) OF THE I&B CODE TO ADJUDICATE UPON THE CONTRACTUAL DISPUTES ?

In TATA Consultancy Services Limited v. Vishal Ghisulal Jain, Resolution Professional, SK Wheels Private Limited; Civil Appeal No 3045 of 2020, the Supreme Court dealt with the issues as to whether the NCLT can exercise its residuary jurisdiction under Section 60(5)(c) of the Code to adjudicate upon the contractual dispute between the parties; and whether in the exercise of such a residuary jurisdiction, it can impose an ad-interim stay on the termination of the Facilities Agreement. With regard to the facts of the case, the Apex Court held that since there was nothing to indicate that the termination of the Facilities Agreement was motivated by the insolvency