# In the matter of A. Guhan & Ors. vs. Sunita Umesh

> NCLAT judgment dated 2024-10-29. Citation: TCN-2024-NCLAT-00131. The appeal challenges an order by the Adjudicating Authority (National Company Law Tribunal,…

- **Court:** NCLAT
- **Order date:** 29 Oct 2024
- **Citation:** TCN-2024-NCLAT-00131
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/a-guhan-ors-vs-sunita-umesh-30f037fe

## Summary

### Background

The appeal challenges an order by the Adjudicating Authority (National Company Law Tribunal, New Delhi Bench) regarding Company Appeal (IBC) No. 13/2023. The appellant contested the liquidator's decision communicated via email on 03.01.2023. The initial Company Application filed under Section 42 of the Insolvency and Bankruptcy Code, 2016, was disposed of with three directives. The appellant, feeling aggrieved by the Adjudicating Authority's order, filed the current appeal.

## Facts

The appellant's predecessor executed a lease deed on 04.04.2012 in favor of the Corporate Debtor for an industrial shed in Thiruvallur District. The lease was for seven years with a monthly rent of Rs. 21,83,000/-. The appellant obtained title to the property via a settlement deed registered on 18.03.2015. The Corporate Debtor defaulted on lease payments from December 2014. The lessor invoked Clause 21(a) of the lease deed and issued a notice on 01.05.2015, terminating the lease and demanding possession. Arbitration proceedings were initiated, and the Arbitral Tribunal issued an award on 07.09.2016, directing payment of rental arrears from 16.12.2014 to 01.05.2015. The appellant filed execution petitions (EP No.40/2018 and EP No. 41/2018) to enforce the award, which

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## Issues and analysis

### Issue 1: Whether the claim of lease rent/damages for unauthorized occupation after 03.02.2021 till …

**Ratio:** The legal principle applied is based on Section 5(13) of the IBC, which defines

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**Reasoning:** The court reasoned that the appellant was not receiving rent from the Corporate Debtor

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**Interpretation:** The court interpreted Section 5(13) and Regulation 31(b) to mean that for a

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**Application:** The court applied the ratio and reasoning to the specific facts of the case. It

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## Parties

- **Judges:** Ashok Bh…; Barun M…
- **Appellants:** A. Gu…
- **Respondents:** Deltronix India…; Sunita…
- **Advocates:** Abhijeet…; Abhinav Ha…; +4 more

## Timeline

- **2012-04-04 — Lease Deed Ex…**: Appellant's predecessor executed a Lease…
- **2014-12-01 — Default in Lease…**: Corporate Debtor started…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 42 — Appeal against the decision of liquidator](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-42)

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