Both the transfer petitions are filed under Section 24 of Code of Civil Procedure, seeking withdrawal of O.P.No.453 of 2019 pending on the file of
learned X Additional Chief Judge, City Civil Court, Hyderabad, and O.P.No.1135 of 2014 pending on the file of learned IX Additional Chief Judge,
City Civil Court, Hyderabad, and to transfer the same to the Court of learned XXIV Additional Chief Judge, City Civil Court-cum-Commercial Court,
Hyderabad.
In both the transfer petitions, the petitioner is M/s Tilak Nagar Industries, a Company incorporated under the provisions of Companies Act, being
represented by its Deputy Manager (Legal), who filed affidavit in support of the petitions.
The main averments of the affidavit filed in support of both the transfer petitions is that O.P.No.453 of 2016 is filed by the respondents on the file
learned X Additional Chief Judge, City Civil Court, Hyderabad, challenging the Arbitration Award dated 02.04.2013. Similarly, the respondents have
also filed O.P.No.1135 of 2014 on the file of learned IX Additional Chief Judge, City Civil Court, and the same is pending for the original record from
the Arbitrator.
It is averred in the affidavit of the petitioner that the relief claimed in arbitration proceedings is more than Rupees One Crore, and therefore, the
Commercial Court at Hyderabad has jurisdiction to dispose of both the O.P.Nos.453 of 2016 and 1135 of 2014. Accordingly, these two transfer
petitions are filed seeking withdrawal of O.P.No.453 of 2016 from the file of X Additional Chief Judge, City Civil Court, Hyderabad, and the
O.P.No.1135 of 2014 from the file of XI Additional Chief Judge, City Civil Court, Hyderabad, and to transfer both the O.Ps. to the Court of XXIV
Additional Chief Judge, City Civil Court-cum-Commercial Court, at Hyderabad, as the dispute in both the O.Ps. is arising out of the arbitration
proceedings for more than One Crore.
Heard the learned counsel for the petitioner.
Despite granting ample opportunity on 28.10.2021 and also on 05.11.2021, the learned counsel for the respondents in both the matters remained absent
without representation. Perused the record.
Learned counsel for the petitioners in both the matters seeks to submit that as per the provisions of Section 10 of Commercial Courts Act, 2015, since
arbitration proceedings arose out of Commercial dispute, and in both the matters, the dispute is worth more than One Crore, the O.Ps, have to be filed
before the Commercial Court only, and that learned IX Additional Chief Judge, and learned X Additional Chief Judge have no jurisdiction. He placed
reliance on Section 10(3) of the Commercial Courts Act, 2015 (for short, ‘the Act’).
Section 10 of the Act deals with jurisdiction in respect of arbitration matters. Sub-Section (3) of Section 10 of the Act reads as follows:
“(3) If such arbitration is other than an international commercial arbitration, all applications or appeals arising out of such arbitration under the
provisions of the Arbitration and Conciliation Act, 1996 (26 of 1996) that would ordinarily lie before any principal civil court of original jurisdiction in a
district (not being a High Court) shall be filed in, and heard and disposed of by the Commercial Court exercising territorial jurisdiction over such
arbitration where such Commercial Court has been constituted.â€
In the present case, the respondents remained absent without any representation. As per the averments in the affidavit filed in support of the transfer
CMPs in both the cases, the arbitration award is in question before the learned IX Additional Chief Judge and learned X Additional Chief Judge, and
that such arbitration Award was passed under the provisions of Arbitration and Conciliation Act, 1996.
Accordingly, learned counsel for the petitioner strenuously contended that when Commercial Courts were established for Hyderabad and for the
entire State of Telangana, ordinarily Civil Courts have no jurisdiction to entertain such dispute.
Therefore, in view of Sub-Section (3) of Section 10 of the Act, I deem it fit to consider the request of the learned counsel for the petitioner for
withdrawal of pending O.P.No.453 of 2016 from the file of learned X Additional Chief Judge, City Civil Court and O.P.No.1153 pending on the file of
learned XI Additional Chief Judge, and to transfer the same to the learned XXIV Additional Chief Judge, City Civil Court-cum-Commercial Court,
Hyderabad.
A separate Commercial Court is established for Hyderabad Revenue District, ousting the jurisdiction from learned XXIV Additional Chief Judge, City
Civil Court with effect from 26.01.2021. Similar another exclusive Commercial Court is established in Ranga Reddy District, at L.B.Nagar, conferring
the jurisdiction for the remaining part of the entire State of Telangana, including Ranga Reddy District.
In the present case both the O.Ps. are pending on the file of learned IX and X Additional Chief Judge, City Civil court, and the prayer for transfer of
said O.Ps. to the Commercial Court at Hyderabad is not in dispute.
Therefore, having regard to the submissions made by the learned counsel for the petitioner, and the provisions of Commercial Courts Act, 2015, the
O.P.No.453 of 2016 pending on the file of learned X Additional Chief Judge, City Civil Court, Hyderabad, and O.P.No.1135 of 2014 pending on the
file of learned IX Additional Chief Judge, City Civil Court, Hyderabad, are hereby withdrawn and transferred to the Judge, Commercial Court, City
Civil Court, at Hyderabad, for disposal in accordance with law.
In the result, both the Tr.CMPs are allowed. The learned X Additional Chief Judge, City Civil Court, and the learned IX Additional Chief Judge, City
Civil Court are hereby directed to transmit the entire record in O.P.No.453 of 2016, and O.P.No.1135 of 2014, respectively, duly indexed, to the Court
of Judge, Commercial Court, City Civil Court, Hyderabad, within one month from the date of receipt of a copy of this order. No costs. Miscellaneous
petitions, if any pending in these transfer petitions, shall stand closed.
