In what may send out a clear message to investors, the Law Commission today came out with a draft bill to set up commercial courts in the country which will follow a time limit of 90 days to complete a trial.
Besides setting up commercial courts across India, The Commercial Courts Bill 2015, also proposes setting up Commercial Divisions of High Courts in at least five High Courts.
"Though it is too early to say, we may bring a bill in this regard in the Budget Session (beginning February 23) of Parliament," a senior Law Ministry functionary said here.
The commission has recommended changes in the Civil Procedure Code (CPC) to bring in changes in the law to set up these courts.
"The bill is much different from the Commercial Division of High Courts Bill, 2009. Here we have also recommended Commercial Appellate Divisions to adjudicate the appeals... These will be manned by trained judges," Law Commission Chairman Justice (Retd) A P Shah told PTI.
The 2009 bill was referred to the Law panel and is still pending in Parliament.
The draft bill proposes powers to the courts to impose costs against defaulting parties for wilful failure to disclose all documents.
Judges manning these courts may get a fixed tenure of two years to ensure continuity. National and state judicial academies will pitch in to train judges in commercial and related matters.
Prime Minister Narendra Modi has assured investors that settling commercial cases in India will no longer be a difficult affair.
The government also plans to amend the Arbitration and Conciliation Act to make it mandatory for an arbitrator presiding over commercial disputes to settle cases within nine months. The amendment will help local and international disputes to be settled outside courts quickly and will reduce pendency in regular courts.
