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Liability of Guarantors After Approval of Resolution Plan Form

Liability of Guarantors After Approval of Resolution Plan Form

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dear friends this video will delve into what happens to the borrower's obligations when a resolution plan is approved for the corporate guarantor as opposed to when a resolution plan is approved for the borrower let's begin our deliberations case discussion analyzing real world scenarios recently in the case of BRS Ventures Investments looted v s REI infrastructure an limited the Supreme Court of India addressed this issue and delivered its judgment the key takeaways from the Supreme Court's judgment are as follows in the lit Kumar jinv Union of India and others case the court examined the impact of approving a resolution plan for a company the principal borrower on the guarantor's liability the Court ruled that the guarantor's liability is distinct from that of the principal borrower therefore if the principal Borrowers debt is resolved through a legal process the guarantor's obligation remains intact similarly if the guarantor's

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