Heading 1: Nature of the Suit and Interim Application

1. The suit was filed as a summary suit under Order XXXVII of CPC for recovery of Rs. 800 crores based on an agreement between Varanium Cloud Limited (Defendant) and Rolta Private Limited (Plaintiff).
2. The defendants filed an Interim Application under Order VII Rule 10 CPC, asserting the dispute falls under "commercial disputes" per Section 2(1)(c)(i) of the Commercial Courts Act, 2015. They sought the return of the plaint for presentation before the Commercial Division of the High Court.

Heading 2: Arguments by Defendant (Applicant)

(Paras 2–7)

• The defendant argued that the dispute involved "ordinary transactions of financiers or traders" under Section 2(1)(c)(i).
• They claimed the plaintiff, while providing leasing services, acted as a financier in assigning a secured debt to the defendant.

Heading 3: Arguments by Plaintiff (Respondent)

(Paras 8–12)

• The plaintiff opposed the application, arguing their main business is leasing services, not financing or trading.
• They contended the dispute arose from a unique transaction unrelated to ordinary business activities and thus did not qualify as a commercial dispute.

Heading 4: Legal Analysis and Findings

(Paras 13–27)

1. Definition of Commercial Disputes (Section 2(1)(c)): The Court noted that disputes must arise from "ordinary transactions" of the classes mentioned (merchants, financiers, etc.) to qualify.
2. Ordinary Business: Referring to precedents, including Ambalal Sarabhai Enterprises Ltd. v. K.S. Infraspace LLP & Anr., the Court emphasized the dispute must be tied to the party's regular business activities.
3. Nature of Transaction: The Court concluded the assignment of debt was a singular transaction not integral to the plaintiff's leasing services business.

Heading 5: Ratio Decidendi

(Paras 21–26)

• A solitary transaction, even if it involves financial dealings, does not automatically make it a commercial dispute unless it stems from the ordinary course of business.
• The definition under Section 2(1)(c) is restrictive and must be applied strictly to ensure speedy resolution of genuine commercial disputes.

Acts and Sections Discussed:

1. Commercial Courts Act, 2015
   • Section 2(1)(c)(i): Definition of "commercial dispute."
   • Section 12A: Pre-suit mediation requirements.
2. Code of Civil Procedure, 1908
   • Order VII Rule 10: Return of plaint.
   • Order XXXVII: Summary suits.

Conclusion:

The Court rejected the defendant's plea to treat the dispute as a commercial dispute. It ruled that the plaintiff's singular transaction of debt assignment fell outside the ordinary business of financing or trading. The application was dismissed, with exemplary costs of Rs. 5 lakhs imposed on the defendants for attempting to delay proceedings.

Subjects:

Commercial Disputes, Interpretation of Commercial Courts Act.
Commercial Courts Act, Assignment of Debt, Ordinary Business, Summary Suit, Order VII Rule 10.