Legal & Insolvency

What is Review Petition?

A Review Petition is a request to the same court or tribunal that passed an order, asking it to reconsider on grounds permitted by law — typically an error apparent on the face of the record or discovery of new and material evidence.

MeaningA Review Petition is a request to the same court or tribunal that passed an order, asking it to reconsider on grounds permitted by law — typically an error apparent on the face of the record or discovery of new and material evidence.
CategoryLegal & Insolvency
Related LawsCPC Order XLVII; SARFAESI; RDB Act
Who Uses ItParties, advocates
Why It MattersLimited but useful tool to correct obvious errors.
Detailed explanation

Review Petition explained in plain English

A practitioner's view written for borrowers and advisors — not a textbook definition.

A Review Petition is a request to the same court or tribunal that passed an order, asking it to reconsider on grounds permitted by law — typically an error apparent on the face of the record or discovery of new and material evidence.

In practice, Review Petition is used most often by parties, advocates. Each of them sees the term from a slightly different angle: borrowers care about protection and outcomes, lenders care about classification and recovery, regulators care about consistency and disclosure.

The legal anchor for Review Petition is CPC Order XLVII; SARFAESI; RDB Act. RBI master directions, the SARFAESI Act 2002, the RDB Act 1993 and the IBC 2016 commonly interplay, depending on the loan size, security and stage of stress.

Why does it matter? Limited but useful tool to correct obvious errors. For a stressed borrower, getting this concept right early often saves several months of penal interest, legal cost and credit-score damage.

A real example: Borrower files review petition against a DRT order overlooking a key document. The mechanics may look complex, but the underlying logic — the bank wants closure, the borrower wants a fair outcome — is straightforward once the right framework is in place.

If you are facing a situation involving Review Petition, the safest first step is a structured case review with a senior ex-banker who has handled comparable matters across banks and ARCs in India.

Where it is used

Where you'll encounter Review Petition

With borrowers and guarantors

Whenever a loan moves from "Standard" to "stressed", Review Petition is one of the words that starts appearing in notices, bank emails and lawyers' opinions.

Inside banks and NBFCs

Sanctioning committees, recovery teams and risk officers use Review Petition to classify accounts, decide provisioning and approve resolution paths.

Before DRT, NCLT and High Courts

Review Petition appears in pleadings, securitisation applications, OAs, Section 7/9 petitions and SARFAESI writs as part of the dispute record.

In ARC and investor transactions

When stressed loans are sold to ARCs or special-situations investors, Review Petition is used in term sheets, assignment agreements and due-diligence reports.

Real example

A practical illustration of Review Petition

Borrower files review petition against a DRT order overlooking a key document.
Note: The example is illustrative. Every case is fact-specific — actual outcomes depend on security cover, ageing of NPA, sanctioning level and the quality of documentation.
FAQs

Frequently asked questions about Review Petition

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Last reviewed by NPAExperts Advisory on 27 Jun 2026

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