Consumer Protection Act

Lease and Rentals - Are these Operational Debt under the IBC

INTRODUCTION

The Insolvency and Bankruptcy Code, 2016 (‘Code’) recognises two types of debts — financial and operational– to enable the creditors to make an application for initiating insolvency proceedings against a corporate debtor. A financial creditor and an operational creditor can initiate a Corporate Insolvency Resolution Process (‘CIRP’) under Section 7 and Section 9 of the Code, respectively. If there is a debt, other than a financial debt or an operational debt, the creditor will not qualify to apply under Sections 7 or 9 of the Code, as the case may be. Therefore, it becomes important to determine the nature of debt/claim while considering the application of an admission under the Code.
Continue Reading Lease and Rentals: Are these Operational Debt under the IBC?

THE 1986 ACT OR THE 2019 ACT - THE SUPREME COURT CLARIFIES APPLICABILITY 

Introduction:

Recently, in Neena Aneja & Anr. v. Jai Prakash Associates Ltd.[1], the Supreme Court of India analysed and clarified the impact of the Consumer Protection Act, 2019 (“2019 Act”), upon pending cases that were filed under the consumer fora, constituted under the Consumer Protection Act, 1986 (“1986 Act”). In this regard, the Court has inter alia discussed and analysed (i) a wide range of judicial precedents, which have interpreted the impact of a change in forum on pending proceedings; (ii) the objects, intent, legislative scheme, and procedural history behind the consumer laws in India, particularly in terms of jurisdictional provision contained in the 2019 Act; and (iii) the relevant portions of the 2019 Act in so far as they pertain to the pecuniary jurisdiction vis-a-vis the erstwhile 1986 Act.
Continue Reading The 1986 Act or The 2019 Act? The Supreme Court Clarifies Applicability