In Brief
Home buyers who purchased apartments in a real estate project approached the regulatory authority (RERA) seeking refunds due to project delays and obtained favorable decrees. When the developer became insolvent, a resolution plan proposed giving these decree-holding buyers less favorable treatment than buyers who had not pursued RERA remedies. The Supreme Court held that all home buyers constitute a single financial creditor class under insolvency law, and buyers cannot be penalized for exercising available legal remedies. The artificial distinction violated the constitutional guarantee of equality. The Court declared all home buyers financial creditors entitled to equal treatment in the resolution plan.
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