Report No. 253

Chapter III

Specified Value

13. Definition and determination of Specified Value :-

(1) For the purposes of this Act, the "Specified Value" in relation to a Commercial Dispute shall mean that the value of the subject matter in respect of a suit as determined in accordance with this Section shall not be less than Rupees One Crore or such higher value as the Central Government may, by Notification prescribe from time to time.

(2) The specified value of the subject matter of the commercial dispute in a suit, appeal or application shall be determined in the following manner:

(a) where the relief sought in a suit or application is for recovery of money, the money sought to be recovered in the suit or application inclusive of interest, if any, computed up to the date of filing of the suit or application, as the case may be, shall be taken into account for determining such specified value;

(b) where the relief sought in a suit, appeal or application relates to moveable property or to a right therein, the market value of the moveable property as on the date of filing of the suit, appeal or application, as the case may be, shall be taken into account for determining such specified value;

(c) where the relief sought in a suit, appeal or application relates to immovable property or to a right therein, the market value of the immovable property, as on the date of filing of the suit, appeal or application, as the case may be, shall be taken into account for determining specified value;

(d) where the relief sought in a suit, appeal or application relates to any other intangible right, the market value of the said rights as estimated by the plaintiff shall be taken into account for determining specified value; and

(e) where the counter-claim is raised in any suit, appeal or application, the value of the subject matter of the Commercial Dispute in such counter-claim as on the date of the counter-claim shall be taken into account.

(3) The aggregate value of the claim and counter-claim, if any as set out in the statement of claim and the counter-claim, if any, in an arbitration of a Commercial Dispute shall be the basis for determining whether such arbitration is subject to the jurisdiction of a Commercial Division, Commercial Appellate Division or Commercial Court as the case may be.

(4) No appeal or civil revision application under Section 115 of the Code of Civil Procedure, 1908, as the case may be, shall lie from an order of a Commercial Division or Commercial Court finding that it has jurisdiction to hear a Commercial Dispute under this Act.