If Customer filed a suit against Bank and Employees/ex-employees for fraud and misappropriation committed in bank accounts, the suit is within the definition of Commercial dispute u/s 2(1)(c) of Commercial Courts Act, 2015 and is perfectly maintainable before Commercial Court – Sivasubramaniam v. Shri Dhanalakshmi Spinntex Pvt. Ltd. and Ors. – Madras High Court
Hon’ble High Court of Madras held that:
(i) The employees of the 8th respondent / 1st Defendant bank had illegally handled the account of the plaintiffs, for which, the 1st defendant bank would be vicariously liable and hence the said transaction is a commercial dispute under 2(1)(c) of the Act, therefore, the 1st point is answered against the petitioner.
(ii) A bare reading of the Section 12A of Commercial Courts Act 2015 would make it clear that the mandate under Section 12A of Act, with regard to the pre-institution mediation is applicable only to the suits, which do not contemplate any urgent interim orders, on the other hand, the suits, which contemplate urgent interim relief, pre-institutions mediation is not necessary.