The Vohra Law Office Blog
Expert commentary on Indian law, case analysis, and legal guides
Corporate Guarantees Execute Before NPA Declaration Constitute Financial Debt Under IBC Section 5(8) : Supreme Court
State Bank of India consortium challenged NCLAT and NCLT orders rejecting their financial creditor status based on corporate guarantees executed by Reliance Infratel Limited. The Supreme Court held that corporate guarantees constitute financial debt under Section 5(8) of the Insolvency and Bankruptcy Code and the concurrent findings of tribunals were perverse, thereby recognizing the appellants as financial creditors.
Discovery Evidence From Joint Disclosure Statements Inadmissible When Authorship Of Concealment Cannot Be Ascertained : Supreme Court
Two appellants convicted of murder were acquitted by the Supreme Court finding the prosecution failed to establish a complete chain of circumstantial evidence. The Court held that discovery evidence at the instance of co-accused alone cannot be utilized against other accused when authorship of concealment cannot be ascertained.
Service Inam Land Granted For Mosque Services Partakes Wakf Character And Cannot Be Alienated : Supreme Court
Janaki Busappa and others claimed ownership of agricultural land through partition and sale deeds, seeking declaration that Wakf Board's allotment proceedings were void. The Supreme Court held that the property, being service inam land granted for rendering services to a mosque, partakes the character of Wakf property and cannot be alienated, restoring the Tribunal's judgment that had dismissed the plaintiffs' suit.
Unsuccessful Party In Arbitration Can Maintain Section 9 Petition At Post-Award Stage : Supreme Court
A retail company challenged orders dismissing its appeals against a Section 9 petition it had filed after losing arbitration. The Supreme Court held that any party to an arbitration agreement, including an unsuccessful party, may invoke Section 9 of the Arbitration Act at the post-award stage to seek interim measures.
Mere Presence Or Knowledge Of Husband's Cruelty And Second Marriage Does Not Attract Section 498A Or 494 IPC Against In-Laws : Supreme Court
The wife of Sivaraman Nair filed a complaint against her husband and his parents and sister alleging dowry harassment and bigamy. The Supreme Court allowed the appeal and quashed criminal proceedings against the accused-appellants (in-laws), holding that general allegations of presence and encouragement without specific overt acts do not disclose offences under Sections 498A and 494 IPC.
IBC Cannot Be Used As Substitute For Execution Of Civil Court Decrees Against Solvent Companies : Supreme Court
Shubh Gautam, a money lender, obtained a decree against Anjani Technoplast Ltd. for Rs. 4.38 crores but instead of executing it, filed a Section 7 IBC petition. The Supreme Court held that the IBC cannot be used as a substitute for civil execution proceedings and restored the NCLT order dismissing the insolvency petition against the solvent company.
Government Grants Act Overrides Delhi Rent Control Act For Premises Held Under Government Grant : Supreme Court
The Union of India occupied residential flats at Sujan Singh Park, New Delhi under a perpetual lease deed executed by the Governor General in Council in 1945. When the landlord sought eviction for non-payment of rent under the Delhi Rent Control Act, the Supreme Court held that the Government Grants Act applies and excludes the DRC Act, as the occupation flows directly from a Government grant rather than a conventional tenancy.
Unsigned Memorandum Of Agreement Can Constitute Binding Contract When Parties Acted Upon Its Terms : Supreme Court
M/s. Marg Limited, a real estate developer, filed a civil suit seeking mandatory injunction for execution of a Memorandum of Agreement and recovery of Rs.53 crores under a composite commercial arrangement with respondents. The Supreme Court allowed the appeal, holding that the High Court erred in rejecting the plaint under Order VII Rule 11 CPC without affording opportunity to correct valuation deficiencies.
Legal Representatives Can Challenge Arbitral Awards Under Section 34 Of Arbitration Act : Supreme Court
V.K. John challenged an arbitral award that directed execution of a sale deed for property he claims a one-third share in. The Supreme Court held that legal representatives of a deceased party must challenge arbitral awards under Section 34 of the Arbitration Act and not under Article 227 of the Constitution.
States Must Deploy Technology-Driven Surveillance And Coordinated Enforcement To Curb Illegal Sand Mining In Protected Wildlife Sanctuary : Supreme Court
The Supreme Court took suo motu cognizance of rampant illegal sand mining in the National Chambal Gharial Sanctuary causing severe ecological degradation and endangerment of Gharials. The Court issued comprehensive interim directions directing three States to deploy CCTV surveillance, GPS tracking of mining vehicles, establish joint patrol teams, and ensure prosecution of offenders.
Arbitration Clause Using Word 'Can' Creates Mere Possibility And Not Binding Obligation : Supreme Court
Nagreeka Indcon Products Pvt. Ltd. contracted with Cargocare Logistics for logistics services. When a dispute arose regarding delivery of goods without payment, Nagreeka invoked the arbitration clause in the bill of lading. The Supreme Court held that the use of the word 'can' in the arbitration clause creates only a possibility of arbitration, not a binding obligation, and thus the clause does not constitute a valid arbitration agreement requiring parties to arbitrate.
Timelines Prescribed In Standard Operating Procedure For Filing Legal Aid Appeals Are Binding: Supreme Court
The appellant Shankar Mahto, facing a death sentence confirmed by the Patna High Court, challenged the judgment through legal aid. The Supreme Court, while addressing systemic delays in the legal aid filing process, approved and made binding the Standard Operating Procedure for translation and transmission of records for filing legal aid appeals and SLPs.