The specified value of a commercial dispute is the value of the subject matter computed under Section 12 of the Commercial Courts Act, 2015: for a money claim, the money sought including interest up to the date of filing; for movable property, its market value; for immovable property, its market value; for intangible rights, the plaintiff's estimate. A commercial dispute with a specified value of ₹3 lakh or more (the minimum fixed by the central government after the 2018 amendment) is heard by a Commercial Court.
How specified value works in India
A supplier adds up the unpaid principal and the interest it claims up to the day it files. If the total is ₹3 lakh or more and the dispute is "commercial" within Section 2(1)(c), the Commercial Court has jurisdiction and the special procedure applies, including pre-institution mediation. Where the claim is below ₹3 lakh, the ordinary civil court hears it under the general CPC. In cities such as Mumbai, Delhi and Kolkata, where the High Court has ordinary original civil jurisdiction, the pecuniary limits of the High Court decide whether a high-value commercial suit goes to the Commercial Division of the High Court or to the district Commercial Court.
Why it matters for getting paid
The threshold decides which rules you play by. Above ₹3 lakh you get strict timelines and summary judgment but must first attempt mediation; below it, you are in the regular civil court, where a summary suit under Order XXXVII may still be available. Including the interest you are entitled to can lift a borderline claim into the commercial stream. Read the Commercial Courts Act entry and use the late payment interest calculator to compute the figure.
How FundRaksha uses it
FundRaksha's advocates compute the specified value at the outset for every non-MSME claim, so the right forum is chosen and the mediation step is not missed. This is part of the free case assessment. 700+ businesses have been paid through FundRaksha; the fee is 30% of what is recovered.
Worked example (hypothetical)
A Jaipur furniture exporter is owed ₹2,80,000 on invoices due 1 January 2025 under a contract providing 18% interest on delay. It plans to file on 1 January 2026. Interest for 12 months at 18% simple is ₹50,400, so the specified value is ₹3,30,400, above ₹3 lakh. The matter is a commercial dispute: pre-institution mediation is required, and if it fails the suit goes to the Commercial Court. Had the contract carried no interest clause and the exporter claimed only the principal, the specified value would be ₹2,80,000 and the ordinary civil court would hear it.
Last reviewed: 2026-10-08. Information for Indian businesses; not legal advice.