Bom HC: LARR Authority Can Examine Limitation Issues in Land Acquisition References under 2013 Act || MP HC: Long-Serving Employees Cannot Be Denied Regularisation by Retrospective Statutory Amendments || J&K&L HC: Routine Challenges to Lok Adalat Awards Defeat Their Purpose of Quick Dispute Resolution || Bombay HC: Restricting Compensation For Wild Animal Damage to Select Species Violates Article 14 || Supreme Court: Corporate Guarantee Constitutes as Financial Debt under the IBC || Supreme Court: No Right to Full Tenure Exists When Appointment is Made ‘Until Further Orders’ || SC Mandates Trial Courts Seek Reports on Mitigating and Aggravating Factors Before Death Sentencing || Supreme Court: Schools Cannot Delay Admission of State-Allotted Student over an Eligibility Dispute || J&K&L HC: Delay in Executing Preventive Detention on Unsubstantiated Medical Ground Makes it Invalid || Delhi HC Allows AITA Results For Interim Management and Directs Fresh Elections Under New Sports Law

Jonathan Allen v. Zoom Developers Private Limited - (High Court of Madhya Pradesh) (24 Aug 2015)

Employee of company has same locus standi as creditor

Company

A three-judge bench of the Madhya Pradesh High Court answered the question, whether an employee of a company qualifies as a creditor of the company, in the affirmative. It held, “the employee of the Company has locus to file Company Petition in respect of his unpaid wages/salary and emoluments, as having been filed by a creditor of the Company”. Outstanding or unpaid wages or salary of an employee were likened to a debt: while not defined in the Companies Act, 1956, the Court defined debt in accordance with its use in common parlance.

Relevant : Read the full judgment in Jonathan Allen v. Zoom Developers Private Limited

Tags : EMPLOYEE CREDITOR COMPANY DEBT

Share :