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2022 Supreme(Online)(KER) 51833
HIGH COURT OF KERALA
C.R, J
HINDUSTAN PETROLEUM CORPORATION LTD – Appellant
Versus
MUHAMMED ILLIYAS – Respondent
OP(C)/194/2022
P. THOMAS GEEVERGHESE
A civil court's jurisdiction is limited by the Commercial Courts Act, and the availability of alternative statutory remedies precludes intervention under Article 227.
Headnote:
Commercial - Jurisdiction - Commercial Courts Act 2015 - Sections 15(2), 15(5) - The court concluded that the civil court rightfully dismissed the transfer application as the dispute did not fall under the defined commercial criteria, emphasizing the necessity of alternative statutory remedies.
Fact of the Case:
The defendants petitioned to set aside an order dismissing their application for transferring a suit to the Commercial Court, arguing the suit involved a commercial dispute due to the leasing of property for a petrol pump operation.
Finding of the Court:
The court found that the dispute did not meet the commercial criteria outlined in the Commercial Courts Act, and the petitioners were advised to seek remedies under Section 15(5) rather than appealing under Article 227 of the Constitution.
Issues: Whether the civil court erred in not transferring the suit to the Commercial Court under the provisions of the Commercial Courts Act.
Ratio Decidendi: The court upheld that the criteria for transfer under the Commercial Courts Act were not met, and the availability of a statutory remedy under Section 15(5) precluded intervention via Article 227.
Final Decision: The original petition is dismissed.
JUDGMENT
The original petition is filed to set aside the order in I.A 5/2021 in O.S.407/2017 (Ext.P3) passed by the Court of the Munsiff, Perumbavoor.
2. The petitioners are the defendants in the above suit, filed by the respondents, inter alia, for a decree to direct the petitioners to give vacant possession of the plaint 'A' and 'B' schedule properties to them. The plaint schedule property was initially leased by late Sri.T.P.Marakkar, the father of the respondents 1 to 5 and the husband of the 6 respondent. There were earlier
3. The relevant portion of Ext.P3 reads as follows:
“8. It is to be noted that the petrol pump situated in the disputed land is operated by the petitioner Company and not a dealer operated pump. The said fact is not disputed. If that be so, as argued by the learned counsel for the respondents that they have no interest in the business of the petitioner Company. The father of the respondents only leased out the premises to the petitioner Company for running a petrol pump for an agreed premium of lease per month.
9. As per section 2(c) (vii) of the Act, only the immovable properties exclusively used for the purpose of commerce and trade will come under the purview of the said section. In this suit, the court fee paid by the respondents is under Section 43 (2) of the Kerala Court Fees and Suits Valuation Act for declaring the termination of the lease. Hence, I am of the view that the dispute involved in the suit will not come under the purview of Section 2(c) (vii) of the Commercial Courts Act, 2015 as contended by the petitioner so as to transfer the same to the Commercial Court.
These points are accordingly answered against the petitioners.
10. In the result, the petition is dismissed. No costs.”
4. Heard; V.Bharath Kumar, the learned counsel appearing for the petitioners and Sri.Thomas Geeverghese, the learned counsel appearing for respondents 1 to 4 and 6.
5. The petitioners had filed Ext.P2 application to transfer the suit to the Commercial Court, alleging that after the coming into force of the Act in the State, the jurisdiction of the civil court to entertain the suit falling under the Act stood ousted.
6. Section 15 of the Commercial Courts Act, 2015 , reads as follows:
“15. Transfer of pending cases- (1) All suits and applications, including applications under the Arbitration and Conciliation Act, 1996 (26 of 1996), relating to a commercial dispute of a Specified Value pending in a High Court where a Commercial Division has been constituted, shall be transferred to the Commercial Division.
(2) All suits and applications, including applications under the Arbitration and Conciliation Act, 1996 (26 of 1996), relating to a commercial dispute of a Specified Value pending in any Civil Court in any district or area in respect of which a Commercial Court has been constituted, shall be transferred to such Commercial Court.
Provided that no suit or application where the final judgment has been reserved by the Court prior to the constitution of the Commercial Division or the Commercial Court shall be transferred either under sub-section (1) or sub-section (2).
(3) Where any suit or application, includi
