A pharmaceutical company owns several patents for drug formulations, registered trademarks for its brand names, and proprietary manufacturing processes developed in-house and registered in company's name.
CS Professional · Insolvency and Bankruptcy - Law and Practice · PYQS · June 2026
A pharmaceutical company owns several patents for drug formulations, registered trademarks for its brand names, and proprietary manufacturing processes developed in-house and registered in company's name.
Answer & Explanation:
The liquidator can sell or license these intellectual property rights to other pharmaceutical companies or investors, and the proceeds form part of the liquidation estate available for distribution to creditors. The liquidation estate shall comprise assets over which the corporate debtor has ownership rights including intangible assets, intellectual property [Section 36(3)(d) of IBC].
Topics: Insolvency and Bankruptcy Code, 2016
Related Questions in this Topic
- "A resolution application may submit a resolution plan along with an affidavit stating that he is eligible under section...
- Omega Infotech Private Limited, a corporate debtor, filed an application under Section 10 of the Insolvency and Bankrupt...
- A public sector bank, acting as a financial creditor, filed an application under Section 7 of the Insolvency and Bankrup...
- PQR Manufacturing Limited, a company engaged in the production of industrial equipment, defaulted on its financial oblig...
- Explain briefly on "Actions to avoid acts detrimental to creditors."