https://www.taxtmi.com/caselaws?id=420764 An insolvency petition under the IBC was found unsustainable because the Memorandums of Understanding did not clearly bind the Corporate Debtor, as proper authorisation and party status were not established. The Tribunal also applied Article 137 of the Limitation Act to Section 7 proceedings and held that the alleged acknowledgment, including a cheque issued in 2020, did not revive a debt that had already become stale. On substance, the MoUs showed outstanding contractual steps that had to be completed before any enforceable right to recover arose, so no legally recoverable debt or default under Section 3(12) was established. en-us Tue, 22 Mar 2022 00:00:00 +0530 Fri, 08 Apr 2022 14:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=420764 An insolvency petition under the IBC was found unsustainable because the Memorandums of Understanding did not clearly bind the Corporate Debtor, as proper authorisation and party status were not established. The Tribunal also applied Article 137 of the Limitation Act to Section 7 proceedings and held that the alleged acknowledgment, including a cheque issued in 2020, did not revive a debt that had already become stale. On substance, the MoUs showed outstanding contractual steps that had to be completed before any enforceable right to recover arose, so no legally recoverable debt or default under Section 3(12) was established. Case-Laws Insolvency and Bankruptcy Tue, 22 Mar 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=420764