Insolvency and Bankruptcy Code, 2016, Section 30 – Contract Act, Section 128 – Guarantor liability – Sanction of a resolution plan does not per se operate as a discharge of the guarantor’s liability – Nature and extent of the liability depend on the terms of the guarantee itself – Involuntary act of the principal debtor leading to loss of security, would not absolve a guarantor of its liability.
Insolvency and Bankruptcy Code, 2016, Section 30 – Contract Act, Section 128 – Guarantor liability – Sanction of a resolution…