Home Case Index All Cases Insolvency and Bankruptcy Insolvency and Bankruptcy + Tri Insolvency and Bankruptcy - 2020 (10) TMI Tri This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (10) TMI 585 - Tri - Insolvency and BankruptcyMaintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its debt - whether there is a pre-existing dispute between the Operational Creditor and the Corporate Debtor as alleged? - HELD THAT:- Here in this case the operational creditor had issued demand notice on 4th June, 2019. To the said notice the corporate debtor had given notice of dispute by reply dated 20th June, 2019 as per section 9(5)(ii)(d) of the Code and proved existence of dispute prior to the date of issuance of the demand notice - In the view of the matter, we are unable to hold that Annexure V to XIX copies of e-mails given to the operational creditor by the corporate debtor relied upon by the Ld. Sr. Counsel for the operational creditor evidencing admission of liability by the corporate debtor. As per the terms of the contract, the delay on the side of the operational creditor give rise to a cause of action to the corporate debtor to claim liquidated damage. The Corporate Debtor in the case in hand succeeded in proving existence of disputes. Moreover, the Corporate Debtor also has succeeded in proving that the claim of the Operational Creditor is much prior to the expiry of the warranty period mentioned in the terms and conditions in Annexure-IV. Keeping in view of the matters, facts and circumstances and position of law, it is held that the application is liable to be rejected under section 9(5)(ii)(d) of the Code. Application dismissed.
|