The Lok Sabha recently passed the Insolvency and Bankruptcy Code (Amendment) Bill, 2025, effecting a major overhaul of insolvency framework since the Code’s enactment in 2016.
| Photo Credit:
lakshmiprasad S
The out-of-court settlement proposed under Insolvency and Bankruptcy Code will reduce the load on NCLT and help promoters to turn around assets without getting into prolonged legal battle.
The recently amended IBC Act has introduced various modes for out-of-court settlement including “debtor-in-possession and creditor-in-control” model with formal out-of-court.
Himanshu Dubey, Partner, S&A Law Offices, said the move is an alternative pathway for resolution…