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ISLAMABAD: Sindh Governor Muhammad Kamran Khan Tessori returned the Sindh Civil Courts (Amendment) Bill 2025 with the advice to place the observation before the Provincial Assembly for reconsideration.

The bill was presented to the governor for assent. However, the governor observed that

a) Article 175(2) of the Constitution mandates that no court shall have jurisdiction unless conferred by the constitution or law.

b) The SHC derives its original jurisdiction from clause 9 of the Letter of Patent of 1866, allowing it to hear civil cases exceeding a specified pecuniary value within Karachi.

c) The Sindh Civil Courts Ordinance, 1962, grants original jurisdiction the District Courts, but it does not override the original jurisdiction of the SHC.

Commercial and Economic Considerations: i) Karachi hosts Pakistan’s largest banks, corporations, and industrial enterprises. ii) The SHC’s original jurisdiction provides quicks and expert adjudication of disputes involving high-stakes commercial transactions. iii) If jurisdiction were shifted to district courts, the efficiency and expertise required for such cases will be compromised, leading to delays, backlog, and investor uncertainty.

Sindh Assembly passes two amendment bills amid strong protest

Efficiency and Judicial Expertise: The SHC has judges experienced in complex commercial maritime, intellectual property and financial disputes. The Commercial Courts Acts, 2021 aims to ensure the expeditious disposal of commercial cases, which aligns with the SHC’s existing expertise.

Protection of Litigants’ Rights: Businesses and individuals have historically relied on the SHC’s original jurisdiction for fair and competent adjudication. Removing this jurisdiction would increase legal costs for litigants, burden district courts with complex cases beyond their capacity and reduce access to specialized judicial expertise.

Judicial Precedent – Searle IV Solution Case: In Searle IV Solution v Federation of Pakistan (2018 SCMR 1444), the Supreme Court of Pakistan upheld the original jurisdiction of the Sindh High Court at Karachi, reinforcing the principles:

A. Continuity of original jurisdiction: The Supreme Court reaffirmed that Karachi’s commercial importance necessitates a specialized forum for commercial disputes, which the SHC has historically provided.

The original jurisdiction was inherited from the Bombay High Court, and its continuity was deemed essential for efficient commercial disputes resolution.

B. Original Jurisdiction Not Subordinate to Civil Courts: The Court held that the SHC’s original jurisdiction is independent of the jurisdiction of subordinate civil courts.

The existence of district courts does not eliminate the High Court’s jurisdiction; rather, both operate in parallel with their respective domains.

C. Role in Commercial and Constitutional Matters: The judgment emphasized that Karachi is Pakistan’s financial hub, requiring a specialized judicial forum to handle high-value commercial disputes efficiently.

Removing the SHC’s original jurisdiction would increase litigation delays and undermine the business confidence in Karachi as financial center.

Copyright Business Recorder, 2025

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