Urgent interim relief can be granted without prior mediation under Section 12A of the Commercial Courts Act if urgency is established, allowing plaintiffs to proceed with their suit.

JUDGMENT :

K. NATARAJAN, J.

1. The petitioners/defendants filed this petition for setting aside the order passed by the Commercial Court-II (Additional Sub Judge-II), Ernakulam, in I.A. No.13 of 2025 in C.S. No.10 of 2023, for having dismissed the application filed by the petitioner under Order VII Rule 11(d) of C.P.C., for rejection of the plaint.

2. Heard the arguments of the learned counsel for the petitioners and the learned senior counsel for the respondents.

3. The case of the petitioners is that the respondents herein filed a Commercial Suit before the Commercial Court- II, Ernakulam, in C.S. No.10 of 2023, for realisation of money, for an amount of Rs.29,20,426/-. Along with the suit, the respondents filed an I.A., for attaching the bank accounts of the petitioners under Order 38 Rule 1 of C.P.C., which came to be allowed, and the accounts of the petitioners have been attached. Later, the petitioners appeared, furnished security to the said amount, and got lifted the order of attachment. Subsequently, the petitioners have filed an application, I.A. No.13 of 2025, under Order VII Rule 11(d) of C.P.C., for rejection of the plaint on the ground that there is a violation of Section 12A of the Commercial Court Act (hereinafter referred to as ‘C.C. Act’), the suit was not filed before the pre-trial mediation settlement before filing the suit in the Court. Therefore, there is a violation of the mandatory provision of Section 12A of the C.C. Act. Hence, prayed for the rejection of the plaint.

4. Whereas the respondents filed a counter and contended that the plaintiffs filed a suit for granting urgent interim relief by way of attachment before judgment in the above suit. Therefore, Section 12A of the C.C. Act has no application, and subsequent to the filing of the suit, the matter has been referred to the Mediation Center, but it was not settled. Therefore, it is contended that there is no violation of the mandatory provision of Section 12A , and due to the urgency, the suit was filed and obtained urgent order of attachment before judgment; otherwise, the petitioners/defendants have flee away from justice, and the plaintiffs are unable to recover the same, hence, prayed for dismissing the application.

5. After hearing the arguments, the Commercial Court dismissed the application of the petitioners, holding that due to the urgency for getting the interim relief, the suit could be filed and obtain the attachment order. Therefore, there is no need for compliance with the provision under Section 12A of the C.C. Act. Hence, the application filed by the petitioners came to be dismissed by the interim order dated 13.03.2025; hence, the petitioners are before this court.

6. The learned counsel for the petitioners mainly contended that, as per Section 12A of the C.C. Act, it is a condition precedent before filing the suit before the Commercial Court, the suit be filed before the pre-mediation settlement, and thereafter the suit should be filed before the court. The learned counsel further contended that even filing an application for attachment or injunction along with the suit is not permissible, and there should be pleading in the suit itself regarding the urgency of getting the interim relief, but no such pleadings were mentioned in the plaint. Therefore, there is a clear violation of the mandatory provision of Section 12A of the C.C. Act. Therefore, the suit itself is not maintainable and the plaint is required to be rejected. In support of his