New Delhi, May 9 (KNN) To improve India’s ranking in the ease of doing business and to ensure faster resolution of matters relating to commercial disputes; the centre has promulgated an ordinance to amend the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015.

The bill received the Presidents’ accord on May 3rd which was approved by the Union Cabinet chaired by the Prime Minister Narendra Modi on March 7, 2018.

The notification published in the official gazette said “since the Parliament was not in session and the President is satisfied that circumstances exist which render it necessary for him to take immediate action, the ordinance had been promulgated.”

According to a media report, the ordinance brings down the pecuniary jurisdiction of commercial courts from Rs 1 crore to Rs 3 lakh, permitting such courts to adjudicate disputes valued from Rs 3 lakh and above.

The ordinance also provides for establishment of district judge level commercial courts for the territories over which high courts have ordinary original civil jurisdiction in cities of Chennai, Kolkata, Delhi, Mumbai and state of Himachal Pradesh.

Such commercial courts shall have monetary jurisdictions not less than three lakh rupees and not more than the pecuniary jurisdiction of the district court.

The original Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, allowed the establishment of commercial courts at district levels in all jurisdictions except under the five high courts.

These high courts have original ordinary civil jurisdiction, through which they can transfer to itself any civil case pending in a subordinate court.

In other areas, except the territories over which the high courts have original civil jurisdiction, the state government may by notification designate appellate courts, to hear commercial disputes decided by the commercial court below the level of district judge. (With inputs from a media report)