NCLT Rejects Jet Airways Liquidator’s Plea Against Boeing
The National Company Law Tribunal (NCLT) has rejected a plea by the liquidator of Jet Airways seeking recovery of around Rs 500 crore from Boeing. The dispute revolves around advance payments for undelivered aircraft, which is contractual in nature and requires full-fledged adjudication.
A two-member Mumbai bench said that determining questions surrounding Boeing's suspension and termination of the aircraft purchase agreements would require examination of the underlying agreements and evidence from both parties.
Jet Airways had entered into agreements with Boeing in 2013 to purchase 737-8 and 787-9 aircraft, paying around USD 92.13 million in advance and pre-delivery payments. Boeing suspended the agreements in May 2019 after Jet Airways failed to make further payments.