Commercial Courts have been Established in Punjab to Fast-track Contract Enforcement

Reform ID P039
 Reform Description  Commercial Courts have been Established in Sindh and Punjab to Fast-track Contract Enforcement

Before: In civil courts, the disposal of commercial cases took a lot because of existing civil case burden, causing delay and resulting in loss of confidence by businesses in the system.

After:  Now, exclusive courts have been established for hearing Commercial Cases. Cases are being filed in these courts and disposal time of these cases has been reduced substantially.

Sector All Sectors
Beneficiaries All Sectors
Jurisdiction/Location  Punjab
Department  Law Department Punjab
Date of Implementation  05-11-2020 (Sindh), 28-4-2020 (Punjab)
 

Details

 

 

Difficulty

● Commercial Cases were filed in ordinary/normal courts where much time was consumed for resolving a commercial dispute, because of a greater number of cases (related to all other categories as well). Resultantly, businesses were losing confidence to operate and Pakistan’s ranking in this  indicator (Enforcing Contracts) was stagnant for the last three years.
 

Analysis

● BoI in collaboration with concerned stakeholders in Pakistan and World Bank Group (WBG) experts, devised the Reform Strategy on EoDB (2019-2021), the strategy included the reform for establishing Commercial Courts. The reform will help in speedy disposal of commercial cases and improvement in the ranking of Enforcing Contracts indicator.
Solution  ● Accordingly, the Government of Punjab and Sindh established separate courts/benches for Commercial Case hearings.

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