Case Note & Summary
The defendant, Dipti Co-operative Housing Society Ltd, filed an application under Order VII Rule 11 of the Code of Civil Procedure, 1908, seeking rejection of the plaint filed by the plaintiff, Buildcon Sethia Construction, in a commercial suit. The defendant contended that the suit was filed without complying with the mandatory pre-institution mediation requirement under Section 12A of the Commercial Courts Act, 2015, and that the suit did not seek any urgent interim relief, thus the plaint was liable to be rejected. The plaintiff had not undergone the pre-institution mediation process as required by law. The court examined the plaint and found that no urgent interim relief was sought, and the suit was filed directly without mediation. The court held that Section 12A of the Commercial Courts Act, 2015, mandates pre-institution mediation for commercial suits unless urgent interim relief is sought. Since the suit did not involve any urgent relief, the plaint was barred and liable to be rejected under Order VII Rule 11(d) CPC. The court allowed the defendant's application and rejected the plaint.
Headnote
A) Commercial Law - Pre-Institution Mediation - Section 12A Commercial Courts Act, 2015 - Mandatory Requirement - Suit filed without urgent interim relief and without prior mediation is barred - The court held that the plaint must be rejected under Order VII Rule 11(d) CPC for non-compliance with Section 12A, as the suit does not contemplate any urgent interim relief and the mandatory mediation requirement was not fulfilled (Paras 1-5).
Issue of Consideration
Whether a commercial suit filed without complying with the mandatory pre-institution mediation under Section 12A of the Commercial Courts Act, 2015, and without seeking any urgent interim relief, is liable to be rejected under Order VII Rule 11(d) of the CPC.
Final Decision
The court allowed the defendant's application and rejected the plaint for non-compliance with Section 12A of the Commercial Courts Act, 2015.
Law Points
- Pre-institution mediation mandatory under Section 12A Commercial Courts Act
- 2015
- Suit without urgent interim relief cannot bypass Section 12A
- Plaint rejection under Order VII Rule 11(d) CPC for non-compliance with statutory bar
Case Details
Interim Application (L) No. 28008 of 2025 in Commercial Suit (L) No. 22835 of 2025
Mr. Simil Purohit, Senior Advocate a/w. Mr. Vishal Pattabiraman i/b. Mr. Nikhil Rajeshirke, Mr. Saurabh Rajeshirke for Applicant/Defendant; Mr. Karl Tamboly a/w. Mr. Bhavin Shah a/w. Mr. Anshul Anjarlekar a/w. Ms. Sanika Athalye i/b. Raval Shah and Co., for the Plaintiff.
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Nature of Litigation
Application by defendant for rejection of plaint under Order VII Rule 11 CPC for non-compliance with Section 12A of Commercial Courts Act, 2015.
Remedy Sought
Defendant sought rejection of plaint on ground that suit was filed without mandatory pre-institution mediation and without urgent interim relief.
Filing Reason
Plaintiff filed commercial suit without complying with pre-institution mediation requirement under Section 12A of Commercial Courts Act, 2015.
Issues
Whether the plaint is liable to be rejected under Order VII Rule 11(d) CPC for non-compliance with Section 12A of the Commercial Courts Act, 2015, when the suit does not seek any urgent interim relief.
Submissions/Arguments
Defendant argued that the suit does not contemplate any urgent interim relief and thus mandatory pre-institution mediation under Section 12A was required, and non-compliance warrants rejection of plaint.
Ratio Decidendi
A commercial suit filed without seeking any urgent interim relief must comply with the mandatory pre-institution mediation under Section 12A of the Commercial Courts Act, 2015; failure to do so renders the plaint liable to be rejected under Order VII Rule 11(d) CPC.
Judgment Excerpts
This application is filed by the defendant under Order VII Rule 11 of the Civil Procedure Code, 1908 (‘CPC’), praying to reject the plaint under clause (d) of Order VII Rule 11 of the CPC on the ground that the suit filed without following the mandatory requirement under Section 12A of the Commercial Courts Act, 2015 (‘said Act’) deserves to be rejected.
It is the objection on behalf of the defendant that the suit does not contemplate any urgent interim relief. Thus, in view of the well-settled legal principles, the plaint deserves to be rejected for non-compliance with Section 12A of the said Act.
Procedural History
The defendant filed an application under Order VII Rule 11 CPC seeking rejection of the plaint in a commercial suit. The court heard submissions and allowed the application, rejecting the plaint.
Acts & Sections
- Code of Civil Procedure, 1908: Order VII Rule 11
- Commercial Courts Act, 2015: Section 12A
