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        Case ID :
        IBC

        NCLAT dismissed the appeal, upholding the AA's refusal to admit...

        Sec. 9 IBC relief refused where pre-existing dispute over final bill and contested damages negated undisputed debt

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                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.
                                NCLAT dismissed the appeal, upholding the AA's refusal to admit a Sec. 9 petition under the IBC to initiate CIRP. The Tribunal found a pre-existing dispute over the final bill dated 11.04.2022 and observed Clause 15 of the construction contract conditions payment on completion certification, rendering the final bill qualified. The respondent's admissions of discrepancies and a contested damages claim (Rs.25,000/day) create doubt as to the existence of an undisputed debt and corresponding default, both prerequisite for Sec. 9 relief. Alleged contractual claims and quantification of damages must be litigated in separate proceedings; no interference with the AA order.
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