The Chief Justice of India (CJI), DY Chandrachud has put forward a suggestion of imposition a pre-hearing costs in commercial cases to ensure that frivolous matters involving commercial issues are not brought before the Supreme Court.
The CJI suggested that frivolous matters take a lot of the Court’s time and it needs to be clamped down upon.
The CJI remarked orally that it is about time that we impose anticipatory costs in commercial matters which come to Supreme Court.
The CJI also added that it is time for Supreme Court in commercial matters to say that first deposit 5 crores cost and if it’s frivolous then the cost will remain with us.
CJI DY Chandrachud observed that many a time, such matters before the top court are appeals against ad-interim orders of lower courts.
The CJI questioned that we do not realise that people come to Supreme Court for such matters that take up courts time.
The CJI said that when such commercial matters are there, they are basically challenging a division bench order which upheld an ADJ order of not granting them ad interim relief. Why should SC interfere?
The CJI said he remembers his time as a lawyer in Bombay High Court and how the Court used to be very strict with such matters.
The CJI mentioned that while he was in Bombay High Court he had argued umpteen number of such applications whereas the judge used to always ask – when did the cause of action arise? If you tell the judge that it arise two years ago, then your case was gone.