New Delhi, 29 September, 2026: King Stubb & Kasiva (KSK) has secured the rejection of a ₹2.29 crore commercial suit for its clients, Check Point Software Technologies Ltd. and Check Point Software Technologies Pvt. Ltd., before the Hon'ble High Court of Delhi. In VCare Infotech Limited v. Check Point Software Technologies & Ors. (CS(COMM) 1047/2025), Justice Subramonium Prasad held that a plaintiff in a commercial suit with no urgent interim relief must exhaust pre-institution mediation under Section 12A of the Commercial Courts Act, 2015 against every defendant it sues.
The Plaintiff had initiated mediation only against Check Point's Indian subsidiary, but later sued the Israeli parent company as well. KSK moved an application under Order VII Rule 11 CPC, arguing that the parent, a distinct legal entity, was never given the opportunity to mediate. The Plaintiff contended that mediation against the subsidiary, as the parent's operational arm, was sufficient.
The Court rejected that argument. Relying on the Supreme Court's decision in Patil Automation (P) Ltd. v. Rakheja Engineers (P) Ltd., (2022) 10 SCC 1, it held that Section 12A is mandatory, that a parent-subsidiary relationship or common representation cannot dispense with it, and that mediating against some defendants while suing others is mere lip service to the provision. The plaint was rejected under Order VII Rule 11(d) CPC, with liberty to file afresh after complying with Section 12A. The Court made no observations on the merits.
The ruling confirms that Section 12A is a substantive precondition to commercial litigation, and that a suit against a foreign parent cannot rest on mediation with its Indian subsidiary alone.
The matter was handled by KSK's team comprising Mr. Sukrit R. Kapoor, Partner, Ms. Garima Singh, Senior Associate and Mr. Sarthak Miglani, Associate.