Section 7 Application Admitted Because Grace Period Did Not Defer Default: NCLAT

Kewal Krishan Sharma Vs Navneet Gupta (NCLAT Delhi) Contractual grace period didn’t postpone occurrence of default: Section 7 application rightly admitted: NCLAT Delhi NCLAT Delhi held that the contractual grace period did not postpone the “occurrence” of default, it merely gave the debtor additional time to rectify it before triggering the contractual consequences. Thus, application u/s. 7 not being barred by section 10A is rightly admitted. Facts- The present appeal has arisen from the impugned order dated 03.07.2024 passed by the National Company Law Tribunal. The Adju...