# In the matter of Rajratan Babulal Agarwal Vs Solartex India Pvt. Ltd.

> SC judgment dated 13 Oct 2022. Citation: TCN-2022-SC-00012. The appellant challenged an NCLAT order that dismissed their appeal against an NCLT order. The…

- **Court:** SC
- **Order date:** 13 Oct 2022
- **Citation:** TCN-2022-SC-00012
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/supreme-court-of-india/rajratan-babulal-agarwal-vs-solartex-india-pvt-ltd-099eafc6

## Summary

### Background

The appellant challenged an NCLAT order that dismissed their appeal against an NCLT order. The NCLT had admitted an application under Section 9 of the IBC, rejecting the appellant's claim of a pre-existing dispute regarding the quality of coal supplied.

## Facts

On September 24, 2016, two High Seas Sale Agreements were executed. One was between Respondent No. 2 and Rawalwasia Textile Industries Private Limited, and the other was between the same seller and STDPL, which the appellant claims is a sister concern of Respondent No. 2. Mr. Sameer Agrawal represented the supply of 500 Metric Tonnes of coal to each of the second respondent and its sister concern through the first respondent.

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## Issues and analysis

### Issue 1: Whether the appellant has raised a dispute that can be described as a 'pre-existing dispute' as…

**Ratio:** A dispute exists if there is a plausible contention that requires investigation and is…

**Reasoning:** The NCLAT erred in dismissing the emails dated October 30, 2016, and November 3, 2016, as…

**Interpretation:** The Court interpreted the term 'pre-existing dispute' under the IBC, drawing…

**Application:** The emails exchanged between the parties, particularly the one on November 3,…

## Parties

- **Judges:** K.M. Jo…; Hrishikes…
- **Other parties:** supreme-court-of-i…
- **Advocates:** For the appellant:…; For the respondent…; +1 more

## Timeline

- **September 24, 2016 — High Seas Sale…**: Two High Seas Sale Agreements were executed, one involving Respondent No. 2 and another…
- **October 11, 2016 — Purchase Order…**: Purchase order issued for…

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