# In the matter of Navbharat Castings LLP Vs. Moser Baer India Ltd. & Anr. CA (AT) No. 323-2018

> NCLAT judgment dated 2018-07-30. Citation: TCN-2018-NCLAT-00180. The appellant challenged an order dated May 8, 2018, where the appellant's application (as…

- **Court:** NCLAT
- **Order date:** 30 Jul 2018
- **Citation:** TCN-2018-NCLAT-00180
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/navbharat-castings-llp-vs-moser-baer-india-ltd-anr-ca-5d53f737

## Summary

### Background

The appellant challenged an order dated May 8, 2018, where the appellant's application (as landlord) seeking direction to the 'Corporate Debtor' through the 'Resolution Professional' to vacate the premises was rejected due to a moratorium order. The appellate tribunal considered whether the moratorium order applies to leased property where the 'Corporate Debtor' is a tenant, especially after an eviction decree was passed in favor of the landlord.

## Facts

M/s. Navbharat Castings LLP, the appellant (landlord), filed an application seeking direction to the 'Corporate Debtor' through the 'Resolution Professional' to vacate premises. This application was rejected due to a moratorium order. The 'Corporate Debtor', M/s. Moser Baer India Ltd., is a tenant on the appellant's property. An eviction decree was passed in favor of the landlord against the 'Corporate Debtor'. The appellant argued that the moratorium period was ending on August 15, 2018, and they would then have the right to pursue recovery of rent arrears. The appellant also submitted that the 'Corporate Debtor' should pay current rent for the period of moratorium.

## Issues and analysis

### Issue 1: Whether the order of ‘Moratorium' will be applicable to the lease hold property of a land-lord in …

**Ratio:** Section 14(1)(d) of the Insolvency and Bankruptcy Code, 2016, imposes a moratorium that

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**Reasoning:** The court reasoned that the moratorium, as per Section 14(1)(d) of the IBC, prevents the

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**Interpretation:** Section 14(1)(d) is interpreted to mean that during the moratorium period,

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**Application:** In this case, the moratorium order prevented the appellant (landlord) from

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## Parties

- **Judges:** S.J. Mukhop…; Bansi Lal…
- **Appellants:** M/s. Navbharat…
- **Respondents:** M/s. Moser Baer…
- **Advocates:** Prashnt…; R.K. Ba…; +2 more

## Timeline

- **2018-05-08 — Order Chal…**: The appellant challenged the order dated May 8, 2018, which rejected their application to…
- **2018-06-29 — Appellate Tribu…**: The Appellate Tribunal passed an order considering whether the moratorium applies to…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 14(1) — Moratorium](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-14)

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