Commercial Courts Act
State Ignored Its Own Obligations, Unilaterally Penalised Contractor Overlooking Difficulties Faced In Completing Canal Construction: Rajasthan HC
The Rajasthan High Court set aside a commercial court's order passed against a company whose contract for constructing a canal was terminated by the State for allegedly not completing the work. In doing so the high court noted that the commercial court's order was erroneous and based on assumptions as it did not consider the non-performance of the Employer's obligation which went to the "root of the matter". The court also observed that the contractor had demonstrated before the commercial...
Original Side Rules On Accepting Counterclaim & Reply Need Amending Due To Rigidity Of S.18 Of Commercial Courts Act: Calcutta HC Frames Guidelines
The Calcutta High Court has held that the court's original side rules on accepting of plaint and counterclaim need to be amended due to the rigidity of Section 18 of the Commercial Courts act. In doing so, the bench of Justices Soumen Sen and Biswaroop Chowdhury also framed guidelines for the same till the amended rules were implemented. The Court held: In view of the stringent provisions in the Commercial Court Act, with regard to filing of pleadings and more particularly written statement...
Supreme Court Seeks Data From High Courts On Pendency Of Commercial Disputes & Available Commercial Court Infrastructure
In a matter pertaining to implementation of the Commercial Courts Act, 2015, the Supreme Court today called on High Courts across the country to furnish data on pendency of commercial disputes and the infrastructure available for dealing with the same.A bench of Justices KV Viswanathan and N Kotiswar Singh was dealing with a petition seeking directions for time-bound implementation of the Commercial Courts Act, 2015. Earlier, when the matter was taken up in 2023, the Court had asked Union of...
Urgent Need To Approve Amended Rules For Issuing Notice/ Summons By Email In Commercial Courts: Karnataka High Court To State
The Karnataka High Court has directed the state government to inform by February 25, on the status of the recommendation made by the High Court for amendment of rules allowing service of notices/summons through email in the Commercial courts at Bangalore.Justice R Devdas while hearing the petition filed by Advocate Anirudh Suresh said, “The State government should be informed that there is an urgent need to approve the rules for service of notice through email.” Suresh informed the court about...
Dispute Regarding Share Purchase Agreement Not Maintainable Before Commercial Court: Karnataka High Court
The Karnataka High Court has held that a dispute related to the recovery of money in regard to the share purchase agreement is not maintainable before the Commercial Court.A single judge, Justice H T Narendra Prasad allowed the petition filed by Bhashakar Naidu challenging the order of the Commercial Court which had rejected its application filed under Order VII Rule 10 of the Civil Procedure Code, for returning the money recovery suit filed by Arvind Yadav. The petitioner had argued that he...
Plea For Recovering Dues Against Vessel Under Admiralty Act, Which Is A Special Statute, Maintainable Before High Court: Karnataka HC
The Karnataka High Court has said that a petition filed seeking a decree against a vessel (ship) would be maintainable before the High Court under the Admiralty (Jurisdiction and Settlement of Maritime Claims) Act, 2017 and not before the Commercial Court.Justice Dr Chillakur Sumalatha held thus while dismissing the petition filed by Shipoil Limited, seeking to return the petition filed by M. T. Standorf. The respondent had filed the petition seeking the Court to pass a decree against the vessel...
Article 227 In Arbitration-Related Commercial Disputes: Scope And Judicial Boundaries
In India, the question of whether writ petitions can challenge arbitration decisions—especially dismissals of Section 34 petitions by Commercial Courts—is a sensitive balance between constitutional authority and arbitration's intended autonomy. The Commercial Courts Act, 2015 (Commercial Courts Act, hereinafter) provides a specialized framework for the adjudication of commercial disputes so that the process becomes faster and more efficient. Though the Commercial Courts Act is aimed at...
Interference With Functioning Of Petrol Pump Sufficient Ground To Bypass Pre-Institution Mediation Under Commercial Court Act: Allahabad HC
Recently, the Allahabad High Court has held that pre-institution mediation as provided in Section 12A(1) of Commercial Court Act, 2015 can be bypassed when there is interference with the functioning of a petrol pump.Section 12A(1) of the of Commercial Courts Act, 2015 provides that where in a suit no urgent relief is contemplated, such suit may not be instituted unless remedy of pre-institution mediation has been exhausted by the plaintiff. Defendant-appellant was owner of the property on which...
Commercial Disputes Take Effect Beyond Private Sphere Of Contracting Parties, Create Ripple Effect On Commercial Movement: Telangana HC
The Telangana High Court has elaborated on the interpretation of "commercial disputes" under the Commercial Courts Act, 2015. The Court clarified that any dispute arising out of a commercial agreement cannot be termed a 'Commercial Dispute' as long as only the contracting parties will be affected. “In essence, a commercial dispute would be one where the nature of the agreement or the consequence arising therefrom would take the effect of the agreement beyond the private sphere of...
Section 5 Of Limitation Act Can Be Applied To Condone Delays Under Commercial Courts Act Even In Absence Of Express Provisions: Bombay HC
The Bombay High Court condoned delay in filing an appeal pertaining to a commercial suit, citing Section 13 of the Commercial Courts Act which allows for the condonation of delay, even in absence of any specific provisions in the Limitation Act. The Court referred to Section 29 of the Limitation Act, stating that since the Commercial Courts Act does not specify a limitation period, Sections 4 to 24 of the Limitation Act apply.The Division Bench of Nitin W. Sambre and Abhay J. Mantri were...
When Does An Appeal Lie To The Commercial Appellate Division Of The Court? Kerala High Court Discusses
The Kerala High Court in a recent order held that appeals will lie in the Commercial Appellate Division of High Court when the order is passed by Commercial Court at the level of a District Judge or by the Commercial Division of the High Court. Division Bench of Justice Anil K. Narendran and Justice Harisankar V. Menon said, if the order is passed by a Commercial Court below the level of a District Court, it has to be challenged before the Commercial Appellate Court. Any Act passed by the State...
[Commercial Courts Act] Disputes Related To Immovable Property Used Exclusively For Trade Are 'Commercial Disputes: Allahabad High Court
The Allahabad High Court, while considering the case of a hotel, has held that a dispute related to an immovable property that is used exclusively for the purpose of trade or commerce would fall under the ambit of a 'Commercial Dispute' under Section 2(1)(c)(vii) of the Commercial Courts Act, 2015.“Agreements relating to immovable property used exclusively in trade or commerce fall under the purview of “commercial disputes” as definer by Section 2(c)(vii) of the CC Act. This categorization...