{"id":9237,"date":"2026-07-30T10:21:20","date_gmt":"2026-07-30T10:21:20","guid":{"rendered":"https:\/\/lawsandlegals.com\/english\/?p=9237"},"modified":"2026-07-30T10:21:23","modified_gmt":"2026-07-30T10:21:23","slug":"rajasthan-hc-no-fresh-pre-institution-mediation-needed-if-commercial-suit-is-shifted-to-another-court","status":"publish","type":"post","link":"https:\/\/lawsandlegals.com\/english\/rajasthan-hc-no-fresh-pre-institution-mediation-needed-if-commercial-suit-is-shifted-to-another-court\/","title":{"rendered":"Rajasthan HC: No Fresh Pre-Institution Mediation Needed if Commercial Suit Is Shifted to Another Court"},"content":{"rendered":"\n

Jodhpur:<\/strong> The Rajasthan High Court has held that parties are not required to undergo pre-institution mediation again merely because a commercial suit is transferred to another Commercial Court due to a change in territorial jurisdiction.<\/p>\n\n\n\n

The ruling came in an appeal filed by M\/s Laxminath Infrastructure Pvt. Ltd., which claimed that the Rajasthan Public Works Department had failed to pay \u20b98.46 lakh under a road upgradation contract executed under the Pradhan Mantri Gram Sadak Yojana (PMGSY).<\/p>\n\n\n\n

Before filing the recovery suit, the company approached the Standing Empowered Committee, issued a legal notice, attempted arbitration and completed the mandatory pre-institution mediation under Section 12A of the Commercial Courts Act. It initially filed the suit before the Commercial Court at Jodhpur, but after a Commercial Court was established at Bikaner, the plaint was returned and re-filed there.<\/p>\n\n\n\n

The Commercial Court, Bikaner dismissed the suit, holding that the company should have undergone pre-institution mediation afresh. It also held that the suit was barred by limitation and that the contractor had failed to follow the dispute resolution procedure under Clause 24 of the contract.<\/p>\n\n\n\n

Setting aside the first finding, a Division Bench of Justice Pushpendra Singh Bhati and Justice Praveer Bhatnagar held that Section 12A requires mediation before instituting a commercial suit, not every time the plaint is presented before another court. Since the parties, dispute and relief remained the same, a second round of mediation was not required.<\/p>\n\n\n\n

On limitation, the High Court held that the Commercial Court had erred in treating the expiry of the defect liability period as the starting point of limitation without first determining when the payment became due and when the right to sue actually arose.<\/p>\n\n\n\n

The Bench also held that the Commercial Court had not properly examined whether the contractor had substantially complied with Clause 24 of the contract. It said the trial court should have examined the contractual procedure followed by the company and the legal effect of any alleged procedural lapse before rejecting the claim.<\/p>\n\n\n\n

Allowing the appeal, the High Court set aside the Commercial Court’s judgment and remanded the matter for fresh adjudication. The court directed the parties to appear before the Commercial Court, Bikaner on August 10, 2026<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Jodhpur: The Rajasthan High Court has held that parties are not required to undergo pre-institution mediation again merely because a commercial suit is transferred to another Commercial Court due to a change in territorial jurisdiction. The ruling came in an appeal filed by M\/s Laxminath Infrastructure Pvt. Ltd., which claimed that the Rajasthan Public Works … Read more<\/a><\/p>\n","protected":false},"author":2,"featured_media":9238,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_wppp_is_locked":false,"_wppp_selected_plans":[],"footnotes":""},"categories":[29,69],"tags":[1206,1782,1779,1704,1776,1784,1529,219,48,1783,1780,1777,43,150,1778,1781],"class_list":["post-9237","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-top-stories","category-rajasthan-high-court","tag-civil-litigation","tag-commercial-court-bikaner","tag-commercial-court-jodhpur","tag-commercial-courts-act","tag-commercial-dispute","tag-contract-dispute","tag-justice-praveer-bhatnagar","tag-justice-pushpendra-singh-bhati","tag-legal-news","tag-limitation","tag-pmgsy","tag-pre-institution-mediation","tag-rajasthan-high-court","tag-rajasthan-legal-news","tag-rajasthan-pwd","tag-section-12a"],"_links":{"self":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9237","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/comments?post=9237"}],"version-history":[{"count":1,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9237\/revisions"}],"predecessor-version":[{"id":9239,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/posts\/9237\/revisions\/9239"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/media\/9238"}],"wp:attachment":[{"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/media?parent=9237"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/categories?post=9237"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lawsandlegals.com\/english\/wp-json\/wp\/v2\/tags?post=9237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}