Pending civil suits, arbitral claims stand abated after resolution plan approved under IBC: Supreme Court

The Supreme Court has ruled that once a resolution plan is approved, any pending civil suits and arbitration proceedings are effectively halted. Claims that have not solidified will be extinguished at the approval of the NCLT resolution plan. Only those claims that are crystallized as of the effective date will receive pro-rata payments.

Raccontata daeconomictimes.indiatimes.com