Supreme Court Seeks State-Wise Commercial Litigation Data To Assess Need For More Commercial Courts

The Bench of Chief Justice of India Surya Kant, Justices Joymalya Bagchi and V. Mohana passed the direction while hearing a petition concerning the implementation of the Commercial Courts Act, 2015.

"It seems to us that the information needs to be updated, at least upto the date of 31.01.2026, along with the details of the infrastructure that has been provided so far. We have also impressed upon learned counsel for the petitioner to collect the data with respect to the state-wise trend of growth in commercial litigation and to have an estimated requirement of additional commercial courts in such States. The consideration of that information may enable the issuance of appropriate directions for establishment of additional commercial courts," it noted.

"For the purpose of establishment of additional commercial courts as contemplated above, it is necessary to ensure the presence of the State Governments in these proceedings. Let notice be, therefore, issued to all the States, who are already impleaded as party respondents, returnable on 24.09.2026," the court ordered.

Senior Advocate Arvind Datar and Advocate-on-Record Anannya Ghosh appeared for the petitioner.

The proceedings arose from a petition filed by the Indian Commercial and Arbitration Bar Association (ICABA), seeking effective and time-bound implementation of the statutory framework governing commercial courts. The petitioner has raised concerns regarding inadequate infrastructure and the availability of commercial courts and commercial appellate benches to deal with the volume of commercial disputes.

The Supreme Court has now called for updated information on the pattern of commercial litigation across States and Union Territories, including existing pendency, the anticipated growth in commercial cases and the corresponding requirement of additional judicial infrastructure.

The latest direction builds upon the Court's earlier efforts to assess whether the institutional mechanism created under the Commercial Courts Act is equipped to handle the country's commercial litigation burden.

Background

In 2023, the Supreme Court had sought information from the Union Government concerning the constitution and functioning of commercial courts across States and Union Territories.

Subsequently, in February 2025, the Court directed High Courts across the country to furnish data concerning the pendency of commercial disputes and the infrastructure available for their adjudication.

In April 2025, the Court had also underscored the importance of specialised training for Presiding Officers appointed to commercial courts. It observed that judicial officers dealing with commercial disputes should undergo appropriate training, orientation or refresher courses to familiarise themselves with the nature of commercial litigation in their respective jurisdictions and the requirement of expeditious adjudication.

The Court had emphasised that prolonged pendency of commercial disputes could have consequences extending beyond the litigating parties, given its potential impact on economic activity and the broader national economy.

During the earlier proceedings, Justice Surya Kant had indicated that, after receiving and assessing the requisite data, the Court would examine the need for additional judicial infrastructure in a phased manner.

The latest direction seeks to provide the Court with a contemporary assessment of the commercial litigation landscape before it determines whether the existing institutional capacity is sufficient to deal with the present and projected caseload.