Skip to content

CS Professional · Arbitration, Mediation and Conciliation · Various Modes and Scope of Mediation including Role of Mediation in other ADR Domains

Veda Textiles Pvt Ltd, Surat, wants to sue a supplier for non-payment of a commercial dispute of Specified Value. It does not seek any urgent interim relief. Under Section 12A of the Commercial Courts Act, 2015, what must Veda Textiles do before instituting the suit?

Veda Textiles must exhaust pre-institution mediation in the prescribed manner before filing. Section 12A(1) bars any commercial suit that does not contemplate urgent interim relief unless this remedy has been exhausted. Neither the defendant's consent nor government permission is needed.

  1. AExhaust the remedy of pre-institution mediation in the manner prescribed by the rulesCorrect
  2. BFile the suit first and request mediation only after the first hearing
  3. CObtain the written consent of the supplier before filing any suit
  4. DApply to the Central Government for permission to file the suit

Explanation

Section 12A(1) bars institution of a suit that does not contemplate urgent interim relief unless the plaintiff has exhausted pre-institution mediation as prescribed by rules. The supplier's consent is not a precondition, and mediation after filing does not satisfy the section.

Did you get it right without looking?

One question tells you little. A timed set on Various Modes and Scope of Mediation including Role of Mediation in other ADR Domains shows your real accuracy, how long you take and where you lose marks.

Practise Various Modes and Scope of Mediation including Role of Mediation in other ADR DomainsFree diagnostic mock

More Various Modes and Scope of Mediation including Role of Mediation in other ADR Domains questions