After considering the arguments and the directions passed in Vishal Pipes, the Division Bench concluded that the issue of whether a particular suit has been deliberately undervalued is one that can always be examined and scrutinized by a competent court.
“Ultimately the issue of a deliberate suppression of valuation would have to be considered and answered based on the facts obtaining in an individual case. All that we deem apposite to note and observe in this respect is that Vishal Pipes clearly appears to have been incorrectly decided when it formulated a direction mandating that normally in all IPR cases, the valuation ought to be ₹3 lakhs and above.”
The Division Bench referred to paragraph 66(iv) of Vishal Pipes and noted that the fallout of the directions contained therein is that even where suits are found to have been correctly valued at below ₹3 lakh, and are thus liable to be tried as non-commercial suits, they are liable to be listed before the District Judge (Commercial) and be tried in accordance with the law as ordinarily applicable.
“It would, therefore, be wholly inappropriate for us by way of a judicial fiat to direct such non-commercial suits to be tried by District Judges (Commercial) notwithstanding those suits not meeting the threshold criteria constructed in terms of the CCA.”
Source: Barandbench
