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Report No. 253

D. Concerns Raised by the Rajya Sabha

1.9 Based on the above recommendations of the Select Committee, the Bill was redrafted, accepting all the Select Committee's recommendations, and placed before the Rajya Sabha for its consideration. During the course of the debate on 13th December 2011,11 the following concerns were raised by the Members of the Rajya Sabha about the redrafted Bill:

(a) There did not seem to be a sufficient rationale for the setting up Commercial Divisions in High Courts in India, as described in the Bill or in the Statement of Objects and Reasons annexed to the Bill.

(b) The Bill did not take into account the difficulties currently faced by High Courts in disposing of pending cases before burdening them with more cases relating to "commercial disputes".

(c) The Bill had not taken into account the fact that the High Courts take longer to dispose civil suits than district courts.

(d) The Bill privileged high value commercial disputes over other civil and criminal cases, which were equally important in nature.

(e) By vesting original civil jurisdiction in the High Courts that did not have it, the Bill was contrary to the recommendations of the Malimath Committee and the Satish Chandra Committee, which had recommended the abolition of the original jurisdiction of the High Courts.

(f) The procedure as prescribed in the Bill for disposing of cases in the Commercial Division was not feasible and did not adhere to the well-established principles of civil procedure and natural justice.

(g) The Bill seemed to reflect "elitist" concerns by "reserving" a Bench for high value commercial cases and catering to the interests of the corporate sector at the cost of the ordinary litigant.

11. Parliament of India, The Commercial Division of High Courts Bill, 2009, RAJYA SABHA DEBATES, 13th December, 2011, available
<http://164.100.47.5/newdebate/224/13122011/Fullday.pdf>.

1.10 Some of these concerns, summarised briefly above, will be examined in greater detail in the next part of this Report.



Commercial Division and Commercial Appellate Division of High Courts and Commercial Courts Bill, 2015 Back




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