Lenient Approach To Be Adopted While Condoning Delay In Refiling, But Sufficient Cause Must Be Shown: NCLAT

The NCLAT emphasized that a lenient approach should be adopted while condoning delays in refiling applications under the IBC, provided sufficient cause is shown for the initial delay and the subsequent refiling. The appellate tribunal recognized that procedural delays can occur and advocated for a pragmatic approach in allowing the revival of applications if there is a genuine reason for the delay and the applicant has taken steps to rectify the defects and refile promptly. This ruling aims to ensure that meritorious cases are not dismissed solely on technical grounds of delay in refiling.