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Sections 6–7 of the Commercial Courts Act, 2015: Jurisdiction of Commercial Courts and Commercial Divisions

The Commercial Court "shall have jurisdiction to try all suits and applications relating to a commercial dispute of a Specified Value arising out of the entire territory of the...

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October 2, 2026
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Last updated: October 2026Verified against: Government sources

Sections 6 and 7 say which suits and applications belong to which commercial forum. Section 6 gives the Commercial Court jurisdiction over commercial disputes of a Specified Value arising within its territory; section 7 gives the High Court's Commercial Division the commercial suits and applications filed in a High Court with ordinary original civil jurisdiction. This article reads both as amended up to 3 May 2018, as per the text consulted, and is written for anyone planning a commercial suit filing.

A flag on the printed heading of section 6

The heading printed for section 6 reads "Jurisdiction of Commercial Divisions of High Courts", the same as the heading printed for section 7. The text of section 6, however, speaks of the Commercial Court. Read the section by its text: it is about the Commercial Court. This is a printing feature of the copy consulted, flagged here and not corrected.

Section 6: the Commercial Court

Section 6 contains one operative sentence and an Explanation.

The sentence. "The Commercial Court shall have jurisdiction to try all suits and applications relating to a commercial dispute of a Specified Value arising out of the entire territory of the State over which it has been vested territorial jurisdiction."

Break it into parts:

  • Subject: suits and applications, both.
  • Dispute: a commercial dispute (section 2(1)(c)) of a Specified Value (section 2(1)(i) and section 12).
  • Territory: arising out of the entire territory over which the Commercial Court has been vested territorial jurisdiction. That territory is the one fixed by the State's notification under section 3(2).

The Explanation. For the purposes of the section, a commercial dispute "shall be considered to arise out of the entire territory of the State over which a Commercial Court has been vested jurisdiction, if the suit or application relating to such commercial dispute has been instituted as per the provisions of sections 16 to 20 of the Code of Civil Procedure, 1908". Those sections of the Code are named by the Explanation; this article does not describe their content. In effect, the Code's normal rules on where a suit may be instituted are used to decide whether the dispute arises within the court's territory. For the general rules, see our guide to jurisdiction of civil courts, which describes the general rule and not the commercial-suit version.

Section 7: the Commercial Division

The main rule. "All suits and applications relating to commercial disputes of a Specified Value filed in a High Court having ordinary original civil jurisdiction shall be heard and disposed of by the Commercial Division of that High Court."

First proviso. All suits and applications relating to commercial disputes, "stipulated by an Act to lie in a court not inferior to a District Court", and filed or pending on the original side of the High Court, shall be heard and disposed of by the Commercial Division of the High Court. The proviso reaches disputes that a statute places before a court of at least District Court rank.

Second proviso. All suits and applications transferred to the High Court by virtue of sub-section (4) of section 22 of the Designs Act, 2000 or section 104 of the Patents Act, 1970 shall be heard and disposed of by the Commercial Division of the High Court in all the areas over which the High Court exercises ordinary original civil jurisdiction. The Designs Act and Patents Act provisions are named only; this article describes nothing about them. For the general rule on those Acts, see our posts on section 22 of the Designs Act, 2000 and section 104 of the Patents Act, 1970.

Side-by-side

QuestionSection 6 (Commercial Court)Section 7 (Commercial Division)
WhereTerritory vested in the Commercial Court by the State's notificationA High Court having ordinary original civil jurisdiction
WhatAll suits and applications relating to a commercial dispute of a Specified ValueAll suits and applications relating to commercial disputes of a Specified Value filed there
Territorial testDispute arising out of the entire territory; treated as arising there if instituted under sections 16 to 20 of the CodeFiled in the High Court
Added casesNone statedSuits stipulated by an Act to lie in a court not inferior to a District Court, and suits transferred under the Designs Act or Patents Act provisions
JudgeJudge appointed under section 3(3)Judge nominated under section 4(2)

How to use this in practice

  1. Decide if the claim is a commercial dispute. Our article on section 2(1)(c) lists the heads.
  2. Fix its Specified Value under section 12.
  3. Find out whether the territory where you wish to sue is served by a Commercial Court, or whether the High Court there has ordinary original civil jurisdiction and a Commercial Division.
  4. Test where the suit may be instituted using the Code's rules named in the Explanation.

Example. Sapphire Logistics Pvt Ltd carries goods for a manufacturer and claims unpaid freight. Freight falls under carriage of goods in section 2(1)(c)(v). If the claim is of a Specified Value and the manufacturer's place of business is in a district served by a Commercial Court, the Explanation to section 6 points back to the Code's rules on institution. If the suit is instead to be filed in a High Court with ordinary original civil jurisdiction, section 7 makes the Commercial Division the forum.

Points to check in the text

  • Heading of section 6 is the same as section 7's but the text is about the Commercial Court.
  • Section 7's first proviso is printed running on from the main rule in the copy consulted; it is a separate proviso.
  • The text is silent on any State's pecuniary limits and on any High Court's rules; check the notifications and the High Court's rules.
  • Where the section 11 bar applies, a Commercial Court cannot hear the dispute at all; see the article on sections 8, 9 and 11 in Read next.

Need help choosing the forum for your commercial claim?

Choosing the wrong forum costs time. If you want help confirming where a commercial claim should be instituted and preparing the plaint, see our commercial suit filing page.

Key takeaways

  • The Commercial Court has jurisdiction over commercial disputes of a Specified Value arising within its territory.
  • The Explanation uses sections 16 to 20 of the Code of Civil Procedure, 1908 to decide where a dispute arises.
  • In a High Court with ordinary original civil jurisdiction, the Commercial Division hears all commercial suits and applications of a Specified Value.
  • Two provisos extend section 7 to Acts requiring a court not inferior to a District Court and to matters transferred under the Designs Act, 2000 and the Patents Act, 1970.
  • The printed heading of section 6 repeats that of section 7.

Read next

Disclaimer: Based on a text of the Commercial Courts Act, 2015 as amended up to 3 May 2018 and on the Ninth Schedule to the Mediation Act, 2023 as enacted, as consulted on 2 October 2026. Later amendments, the current Specified Value, the pre-institution mediation rules and High Court rules should be checked. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Sections 6

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

What does section 6 of the Commercial Courts Act cover?

It gives the Commercial Court jurisdiction over suits and applications relating to a commercial dispute of a Specified Value arising out of the territory vested in it.

How is "arising out of the territory" decided?

The Explanation says the dispute is considered to arise there if the suit or application is instituted as per sections 16 to 20 of the Code of Civil Procedure, 1908.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

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Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

It gives the Commercial Court jurisdiction over suits and applications relating to a commercial dispute of a Specified Value arising out of the territory vested in it.

The Explanation says the dispute is considered to arise there if the suit or application is instituted as per sections 16 to 20 of the Code of Civil Procedure, 1908.

The Commercial Division, under section 7.

Suits and applications relating to commercial disputes stipulated by an Act to lie in a court not inferior to a District Court, and filed or pending on the original side, are heard by the Commercial Division.

Suits and applications transferred to the High Court by sub-section (4) of section 22 of the Designs Act, 2000 or section 104 of the Patents Act, 1970.

The copy consulted prints the same heading for both. The text of section 6 is about the Commercial Court.