Termination of contracts grounded in pre-CIRP breaches and performance deficiencies is not protected by the moratorium under Section 14 IBC and falls outside NCLT’s residuary jurisdiction.

The NCLAT, New Delhi clarified that insolvency proceedings cannot be invoked to enforce contingent or inchoate rights arising from unregistered redevelopment agreements, defective guarantees, or assignments lacking crystallised obligations.

The NCLAT held that violation of deposit provisions under the Companies Act does not render an interest-bearing loan unenforceable or bar insolvency proceedings under Section 7 of the IBC.