ris1ffiq-{is qr,q
'B,tfteqq/d f o t f zo rt - zo r s "" 'ffir qi'€ + grfffd srs gffi* 5rt-dH (te-{r srmfs-c )+ isur tg wgrd. Eilifi sff.z-zz-ederc rrwe i ra fr. t. {tdTf, frqis
30-05-2001."
fu{|\rtrtEt
(qqrgrrur)
urk*'R t Ir*.rRa
$qis zoo l
rugr, ira-+n, frqis s q{ 2018 - "is rs, {r.F 1940 frEr eft fttilfr ffid frtTFr +iT[dq, c-{ffifi qEH, i-qrtt-qgt
Tqr{qg{, frqis sqT zors
*cio soorld. ari zr-er/ur.ie. rr./rs.- t+r
"5m.6$ "tiu y .r{ ftt."ft, frqi6 or-os-zorr *' wgu-tor f G efqffiqa efr&, *fufrtqd frkq-{ qo-s *TqfrtTd ctr&-c fukq-{ (erfi-gi;e, stT€t{, zorr (x-cis 3812018)v+qanrvtvnntwfiEflq-sd(&gr:r*.rfrn*ur+t.
ederrq * {rwqrd * crff Q aail s{ssrElqrt,
rftg;ma$i, aTFdkffqfuq.
MINISTRY OF LAW AND JUSTICE (Legislative Department)
I,{ew Delhi, the 3rd May, 2018/Vaisakha 13, 1940 (Saka)
THE COMMERCIAL COURTS, COMMERCIAL DIVISION AND COMMERCIAL APPELLATE DIVISION OF HIGH COURTS (AMENDMENT) ORDINANCE, 2018
No. 3 or 2018
Promulgated by the President in the Sixff-ninth Year of the Republic of
India.
An Ordinance to amend the Commercial Courts, Commercial Division and
Commercial Appellate Division of High Courts Act, 2015.
WHEREAS Parliament is not in session and the President is satisfied that
circumstances exist which render it necessary forhim to take immediate action;
NoW THEREponr, in exercise of the powers conferred by clause (1) of article 123 of the Constitution, the President is pleased to promulgate the following Ordinance :-
1" (1) This Ordinance may be called the Commercial Courts, Comrnercial Short title and Division and CommercialAppellate Division of High Courts (Amendment) Ordinance, com'nencement 20t 8"
(2) Save as otherwise provided, it shall come into force at once.
4tl
412 Ed€rr6 {MT{, ftqifi s sf,r 2or8
2. In the Commercial Courts, Commercial Division and
Amendment of long title.
Commercial Appellate Division of High Courts Acq 2015 4of20r6" (hereinafter referred to as the principal Act), in the long title, after the words "Commercial Courts", the words ", Commercial Appellate Courts" shall be inserted.
3. In section 1 of the principal Act, for sub-section (1), the
Amendment of scction 1.
following sub-section shall be substituted, namely:-
"(1) This Act may be called the Commercial Courts Act, 2015.".
4.In section 2 of the principal Act, in sub-section (l),-
Amendment of section 2.
(I) clause (a) shall be renumbered as clause (aa) thereof, and before clause (aa) as so renumbered, the follow'ing clause shall be inserted,namely:-
'(a) "Commercial Appellate Courts" means the Commercial Appellate Courts designated under section 3A;';
(II) in clause (i), for the words "which shall not be less than one crore rupees", the words "which shall not be less than three lakh rupees" shall be substituted.
S.In the principal Act, in Chapter II, for the Chapter heading,
Substitution of Chapter heading.
the following Chapter heading shall be substituted, namely:-
.COMMERCIAL COURTS, COMMERCIAL APPELLATE COURTS, COMMERCIAL DIVISIONS AND COMMERCIAL APPELLATE DIVISIONS".
6.In section 3 of the principal AcL-
Amendment of section 3.
(a) in sub-section (l),for the proviso, the following
provisos shall be substituted, namely:*
"Provided that with respect to the High Courts having ordinary original civil jurisdiction, the State Govemment may, after consultation with the concemed High Court, by notification, constitute Commercial Courts at the District Judgelevel:
Frovided further that with respect to a territory over which the High Courts.have ordinary original civil jurisdiction, the State Govemment may, by notification, speciff such pecuniary value which shall not be less than three lakh rupees and not more than the pecuniary jurisdiction exercisable by the Distriet Courts, as it may consider necessary.";
Bffiflr'ra {rErrFr, ftqis s qI 2ors
arz (r) (b) after sub-section (1), the fbiioiving sub-section shall
be inserted, namely: -
"(1A) Not*'ithstanding an1'thing contained in this Act, the State Government may, afler consultation with concerned High Court, by notification, speciSr such pecuniary value rvhich shall not be less than three lakh rupees or such higher value, for whole or pafi of the State, as it may consider necessary.";
(c) in sub-section(3), -
(i) for the words "State Covernment shail", the
words "State Government may" shail be substituted;
(iD for the words "Commercial Court,from amongst the cadre of Higher Judicial Service in the State", the following words shall be substituted, namely:-
"Commercial Court either at the level of District Judge or a court below the level of a District Judge.".
7. After section 3 of the principal Act, the following section lnsenion of new section 3A.
shall be inserted, namely:-
Designation of Commercial Appellate
Courts.
"3A. Exceptthe territories over which the High Courts have ordinary original civil jurisdiction. the State Govemment may, after consultation r.vith the concerned High Court, by notification, designate such number of Commercial Appellate Courts at District Judge level, as it may deem necessary, for the purposes of exercising the jurisdiction and powers conferred on those Courts under this Act.".
Amendment section 4.
8. In section 4 of the principal Act,in sub-section (1), for the words "ordinary civil jurisdiction", the words "ordinary original civil jurisdiction" shall be substituted.
of
9. Section 9 of the principal Act shall be omitted.
0mission section 9.
10. In section 12 of the principal Act, in sub-section (1),- Amendment section 12.
(i) in clause (c), after the words "Specified Value;",
the word "and" shall be inserted;
(ii) in clause (d), the word "and", occurring at the end,
shall be omitted;
412 (21 Edsrrcttq-qr, ftHis sqr 2or8
(iii) clause (e) shall be omitted.
1l.After Chapter III of the principal Act, the follorving Chaptcr
lnsertion of new Cl",apter IIIA.
shall be inserted, namely'':-
..CHAPTER IIIA
PRE,.INSTITUTION MEDIATION AND SE'|TLEMENT
Pre-lnstitution Mediation and
Setllement,
12A. (1) A suit, rvhich does not contemplate any urgent interim relief under this Act, shali not be instituted unless the plaintiff exhausts the remedy of pre-institution mediation in accordance with such manner and procedure as may be prescribed by rules made by the Central
Govemment.
39 o{'1987.
(2) The Cental Govemment may, by notification, authorise the Authorities constituted under the Legal Services Authorities Act, 1987, for the purposes of pre- institution mediation.
39 of 1987.
(3) Notwithstanding anything contained in the Legal Services Authorities Act, 1987, the Authority authorised by the Central Govemment under sub-section (2) shall complete the process of mediation r.vithin a period of three months from the date of application made by the plaintiff under sub-section (1):
Provided that the period of mediation may beextended for a further period of two months with the consent of the parties:
Provided further that, the period during rvhich the
parties remained occupied with the prc-institution 36 of 1963. mediation, such period shall not be computed for the purpose of limitation under the Limitation Act, 1963.
(4) If the parties to the commercial dispute arrive at a settlement, the same shall be reduced into writing and shall be signed by the parties to the dispute and the mediator.
(5) The settlement arrived at under this section shall have 26 of 1996 the same status and effect as if it is anarbitral award on agreed terms under sub-section(4) of section 30 of the Arbihation and Conciliation Act, 1996.".
Amendment of 12. In section 13 of the principal Act, for sub-section (1), section 13' the following shallbe substituted, namely:-
"(1) Any person aggrieved by the judgment or order of a Commercial Court below the level ofa District Judge
, ftFis sqr 2ots
4t2 (3) may appeal to the Comrnercial Appellate Court within a period of sixty days from the date ofjudgment or order.
(iA) Any person aggrieved by the judgment or order of a Commercial Court at the levelof District Judge exercising original civil jurisdiction or, as the case may be, Commercial Division of a High Court may appeal to the Commercial Appellate Division of that High Court within a period of sixfv days from the date of the judgment or order:
5 of 1908. 26 of 1996.
Provided that an appeal shall lie from such orders passed by a Commercial Division or a Commercial Court that are specificaily enumerated under Order XLIII of the Code of Civil Procedure, 1908 as amended by this Act and section 37 of the Arbitration and Conciliation Act, 1996;',.
13. In section 14 of the principal Act, for the words Amendment of 'oCommercial Appellate Division", the words "Cornmercial section 14' Appellate Court and the Commercial Appellate Division" shall be substituted.
Amendment section 15.
14. In section 15 of the principal Act, in sub-section (4), for the words, figures and letter '\ryith Order XfV-A", the words, figures and letters "with Order XV-A" shall be substituted.
Amendmenl
section 17.
15. In section 17 of the principal Act, for the words "Commercial Courts" and "Commercial Court", wherever they occur, the words "Commercial Courts, Commercial Appellate Courts" shall be substituted.
Amendment of section 20.
16. In section 20 of the principal Act, for the words "Commercial Court", the words "Commetcial Courts, Commercial Appellate Courts" shall be substituted.
17. After section 21 of the principal Act, the following Insertion of new section 21A.
section shall be inserted, namely:-
Power of "214. (1) The Central Government o&y, by notification, make rules for carrying out the provisions of this AcL
Central Govemment to make rules.
(2) in particular, and without prejudice to the generalit_v of the foregoing power, such rules may provide for or any of the following matters, namely:-'
(a) the manner and procedure of pre- institution mediation under sub-section (1) of section t2A;
412 (41
effier-rartqqd, frnis sqr 2ot8
(b) any other matter which is required to be, or may be, prescribed or in respect of rvhich provision is to be made by rules made by the Central
Covernment.
(3) Every rule made by the Central Govemmenl under this Act shali be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirfy days which may be comprised in one session, or in tvvo or more successive sessions, and if, before the expiry of the session immediately follorving the session or the successive sessions aforesaid, both Houses agree in making any modification in the rule, or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annuhnent shall be without prejudice to the validity of anything previously done under that ruIe.".
Amendment
18. In the Schedule to the principal Act,-
Schedule.
(i) in Paragraph 4, in sub-paragraph (D). in item (iv),-
(a) in the opening portion, the words "after the first
proviso," shall be omitted;
(b) for the words "Provided further that". the words
"Provided that" shall be substituted;
(ii) in paragraph 11, for the words "Commercial Court", the words "Commercial Court, Commercial Appellate Coufi" shall be substituted;
(iii) after paragraph 11, the follorving shall be inserted and shall be deemed to have been inserted with effect from the 23rd October, 2015, namely:-
"12. After Appendix H, the foilowing Appendix
shall be inserted, namely:-
.APPENDIX-I
STATEMENT OF TRUTH
(Under First Schedule, Order VI- Rule l54. and Order XI- Rule 3)
I----- the deponent do hereby solemnly affinn and declare as under:
1. Iam the parry in the above suit and competent to swear this alldavit.
4tz (s)
Bffi€rr€ {qrd, frqis s ET 2018
2. I am sufficiently conversant with the facts of the case and have also examined all relevant documents and records in relation thereto.
3. I say that the statements made in -----paragraphs are true to my knowledge and statements made in -----paragraphs are based on information received which I believe to be correct and statements made in --paragraphs are based on legal advice.
4. I say that there is no false statement or concealment of any material fact, document or record and I have included information that is according to me, relevant for the present suit.
5. I say that all documents in my power, possession, control or custody, pertaining to the facts and circumstances of the proceedings initiated by rne have been disclosed and copies thereof annexed with the plaint and that I do not have any other documents in my power, possession, control or custody.
6. I say that the above-mentioned pleading comprises of a total of --pages, each of which has been duly signed by me.
7. I state that the Annexures hereto are true copies of the
documents referred to and relied upon by me.
8. I say that I am aware that for any false statement or concealment I shali be liable for action taken against me under the law for the time being in force,
Place:
Date:
DEPONENT
VERIFICATION
do hereby declare that the
statements made above are true to my knowiedge.
Verified at [place] on this [date]
DEPONEhIT".'.
Application of Ordinance to cases filed on or afler 1ts 19. Save as otherwise provided, the provisions of this Ordinance shall apply only to cases relating to commercial disputes filed on or after the date of commencement of this Ordinance.
commencemcnt
RAM NAIH KOVIND, President.
DR. G. NARAYANA RAJU,
_ ,Secretary to the Govt. of India.
ti.ama, rrqq a?n iq{ qc.n, 6{qqE em flsfiq qlrqrdq, rrqK t qBd am rorRm - zo I e