Skip to content

CS Professional · Insolvency and Bankruptcy - Law and Practice · Insolvency Resolution of Individuals and Partnership Firms

The Debt Recovery Tribunal passes an order against a partnership firm in an insolvency matter under the IBC on 1 March. The firm's partners wish to appeal and are prevented by sufficient cause from filing within the normal period. What is the latest outer limit for the appeal to be allowed to be filed?

The outer limit is 45 days. An appeal to the Debt Recovery Appellate Tribunal must be filed within thirty days, and if sufficient cause is shown the DRAT may allow a further period not exceeding fifteen days. Nothing beyond that is condonable.

  1. A30 days from the order only, with no extension
  2. B45 days from the order, i.e. 30 days plus a further 15 daysCorrect
  3. C60 days from the order, i.e. 30 days plus a further 30 days
  4. D90 days from the order

Explanation

Section 181(1) requires the appeal to the DRAT within thirty days. Under section 181(2), if sufficient cause prevented filing, the DRAT may allow a further period not exceeding fifteen days, so the outer limit is 45 days. A 60-day option wrongly doubles the condonable period.

Did you get it right without looking?

One question tells you little. A timed set on Insolvency Resolution of Individuals and Partnership Firms shows your real accuracy, how long you take and where you lose marks.

Practise Insolvency Resolution of Individuals and Partnership FirmsFree diagnostic mock

More Insolvency Resolution of Individuals and Partnership Firms questions