The NCLAT mandated the preparation of a Resolution Plan addendum to address homebuyers' claims prior to NCLT approval. This decision safeguards homebuyers' interests during insolvency resolution processes.
NCLAT Affirms Homebuyers' Claims Not Extinguished Until Plan Approval
The National Company Law Appellate Tribunal (NCLAT) has directed the preparation of an addendum to the Resolution Plan, ensuring that homebuyers' claims are acknowledged and addressed before final approval by the National Company Law Tribunal (NCLT). This decision emphasizes that such claims remain valid until the completion of the formal resolution process.
The tribunal ruled that the interests of homebuyers must be safeguarded, reflecting a broader understanding of stakeholders' rights in insolvency proceedings. The ruling mandates that all recorded claims of homebuyers must be incorporated into the final resolution plan for consideration.
For legal practitioners handling insolvency and real estate matters, this ruling reinforces the importance of ensuring the inclusion of stakeholders' claims in corporate insolvency processes. Lawyers should actively advocate for their clients to ensure that their rights are not overlooked in resolution plans.
Citations
- NCLAT (2026)
