For the quicker disposal of the commercial disputes, the TRS government in Telangana is soon going to set up commercial courts.
Speaking on the issue, Telangana law minister, A. Indrakaran Reddy said, these commercial courts will deal with commercial disputes involving claims of Rs 1 crore and above and added that, state Chief Minister KCR is yet to approve the proposal.
Along with the commercial courts, law minister further said that, the state government is also intending to set up holiday courts, which even work during the holidays and also during the non-working hours of the other courts.
Speaking about the new courts, minister said, “Two commercial courts will be set up in Hyderabad and Ranga Reddy initially. They will be extended to other districts in a phased manner.”
He further added that, the setting up of the commercial courts, was in accordance with the Commercial Courts, Commercial Division, Commercial Appellate Division in High Courts Bill, 2015, that was passed by Parliament in December 2015 and became an Act in January 2016.
“We will soon write to the High Court requesting it to issue a notification for setting up of commercial courts in Hyderabad and Ranga Reddy,” minister added.
High Court, Reddy said, could constitute a commercial division and notify setting up of commercial courts, in the districts, headed by district judges or additional district judges.
Commercial dispute, as per the act means, something, that arising out of ordinary transactions of merchants, bankers, financiers and traders such as those relating to mercantile documents, joint venture and partnership agreements, intellectual property rights, insurance and other areas.
The act specifies that, the proposed court should resolve all the commercial disputes within a maximum of 18 months.
In Arun Jaitley’s 2015 budget speech, the Union finance minister said that, based on the recommendations of the 253rd report of the Law Commission, for quick resolution of commercial disputes, the government proposed to set up exclusive commercial divisions in various courts in India.
By Phani Ch
