Development Rights Are Fully Covered By Definition Of "Property" U/S 3(27) Of IBC: NCLAT New Delhi

The National Company Law Appellate Tribunal (NCLAT) ruled that development rights are considered assets under the Insolvency and Bankruptcy Code (IBC). The case involved a real estate developer who had transferred development rights to a third party before insolvency proceedings were initiated. The NCLAT found that the development rights constituted assets of the corporate debtor and should be included in the resolution process. The tribunal emphasized that all assets, including intangible ones like development rights, must be considered in insolvency proceedings to ensure fair distribution among creditors. This decision reinforces the comprehensive nature of asset evaluation under the IBC, protecting the interests of all stakeholders.