Recently, the Hon’ble Delhi High Court directed the creation of 42 new Commercial Courts in the national capital within six months, to expedite the disposal of commercial disputes. The Court issued the direction upon hearing a Public Interest Litigation (PIL) which stated that the 42 new commercial courts which were notified and/ or sanctioned by the Delhi Government on April 13, 2021, were not setup.

 

 

According to the PIL, at present, a total of 22 commercial courts are functioning in Delhi with 26959 pending cases . It was further contended that the efficiency of the legal system and the time taken to resolve the commercial disputes was extremely important factor in deciding the growth of investment and the overall economic and social development of the nation. As per the data collected till February 2022 it takes 747 days in Delhi for the disposal of commercial disputes.

 

 

Against these claims, the administrative wing of the Court stated that a shortage of courtrooms was coming in the way of immediately starting additional commercial courts which would be established once the infrastructure was completed. It was further notified that the Chief Secretary, Government of NCT of Delhi had desired during the meeting dated June 7, 2022, that the Public Works Dept. ought to adhere strictly to the timelines for construction of prefabricated courtrooms and hand over the same formally within the prescribed timelines.

 

 

Taking into consideration all the submissions, the Court directed the setting up of the infrastructure for 42 commercial courts within six months. The Court also granted liberty to the petitioner to re-approach if the Order has not complied within the time frame.

 

 

The ambit of commercial courts includes adjudication of commercial disputes regarding distribution and licensing agreements, trademarks, copyrights, geographical indication, semiconductor integrated circuits, patents, domain names, etc. Thus, the overall creation of new courts will prove to be a boon for all IP litigants as it will lead to speedy disposal of cases.