Matters pertaining to the Insolvency and Bankruptcy Code, 2016, in conjunction with the Companies Act, 2013, constitute a significant portion of corporate litigation. These cases are often characterized by high stakes, as they involve substantial financial implications for all parties involved.
The entire process of Corporate Insolvency Resolution is a cumbersome, technical and multi- dimensional process. Navigating though the same requires a mix of commercial as well as legal and practical knowledge.
As such, the precise language and formulation used while drafting Petitions/Applications for submission to the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT) carry immense weight. Clear and effective drafting can significantly influence the outcomes of these proceedings, making it imperative for legal professionals to exercise utmost diligence in their submissions. In commercial litigations time is of essence and utmost value. Hence one procedural lapse could result in taking a party a hundred steps back in the process of insolvency.
Similarly, effective representation of parties before these tribunals is a critical aspect of advancing corporate matters. As the disputes are exclusively commercial, convincing and persuasive arguments, often prove to be pivotal in achieving favorable outcomes. Advocates, must not only present their clients' cases persuasively but also navigate the intricate legal landscape surrounding insolvency and corporate restructuring. This involves an in-depth understanding of the IBC and related laws, as well as the ability to anticipate and counter arguments presented by opposing parties.
Additionally, specific provisions of the IBC, such as the Moratorium under Section 14, necessitate a deep understanding of both the letter and the spirit of the law. Advocates must adeptly reason through the legal implications of a moratorium, which halts all pending litigation and claims against the corporate debtor. This aspect of corporate law requires a nuanced interpretation of the law's intentions, as well as the ability to articulate these insights effectively in legal arguments.