New Delhi, April 20 -- If Vedanta's challenge to lenders' approval of Adani Enterprises' Rs.15,000-crore resolution plan for Jaiprakash Associates Ltd (JAL) succeeds, it could redefine lenders' wide powers under the "commercial wisdom" doctrine in the country's bankruptcy regulation, lawyers said.

Lawyers say the Anil Agarwal-led Vedanta's challenge is serious and, if successful, could force lenders to better explain their decisions, especially when choosing a lower-value plan based on factors like upfront cash and faster payments.

"If Vedanta succeeds, the case would represent a reconsideration of the commercial wisdom doctrine," said V. Aneesh, partner at CMS IndusLaw.

Vedanta is challenging the committee of creditors' (CoC) approval...