The Supreme Court appointed Former CJI DY Chandrachud as mediator in a 1.7 lakh MT iron ore dispute, directing mediation to resolve the protracted commercial conflict.
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NEW DELHI: The Supreme Court of India on Friday directed mediation in a long-running commercial dispute arising out of an agreement for the transportation and sale of 1.7 lakh metric tonnes of iron ore. The Court appointed former Chief Justice of India, Dr. Justice D.Y. Chandrachud, as the mediator to facilitate an amicable settlement between the parties.
The order was passed by a Bench comprising Justice J.B. Pardiwala and Justice K.V. Viswanathan, who observed that the litigation had become “murkier and murkier by the day” and that mediation would be the most appropriate mechanism to resolve the conflict.
Background of the Dispute
The controversy originated from an agreement dated April 3, 2023, relating to the sale and transportation of a massive iron ore stock. Disagreements between the parties soon escalated, leading to multiple rounds of litigation.
- On July 31, 2024, the Commercial Court returned the plaint citing non-compliance with Section 12A of the Commercial Courts Act, 2015, which mandates pre-institution mediation for commercial disputes.
- The Madhya Pradesh High Court at Jabalpur, through its judgment dated August 11, 2025, overturned this decision, holding that the bar under Section 12A(1) would not apply since the suit involved urgent interim relief.
- The High Court restored the suit, restrained the respondents from transporting or selling the disputed iron ore, and directed the Commercial Court to independently adjudicate on interim injunctions under Order 39 Rules 1 and 2 CPC as well as the main suit.
Dissatisfied with this ruling, the petitioner escalated the matter to the Supreme Court.
Supreme Court Proceedings
The case saw extensive arguments from both sides, with Senior Advocate Dr. Abhishek Manu Singhvi appearing for the petitioner and Senior Advocate Gopal Subramanium representing the respondent.
After hearing the matter, the Bench underscored that:
- The commercial stakes were substantial,
- The litigation had already dragged on for years, and
- Prolonging the dispute further would not serve justice.
Accordingly, the Court proposed mediation before a respected former judge, a suggestion which both Singhvi and Subramanium agreed to.
Directions Issued by the Supreme Court
The Bench formally appointed Justice D.Y. Chandrachud, former Chief Justice of India, as the mediator and issued the following directions:
- The mediator’s fees would be fixed in consultation with the parties.
- The mediator must furnish a report at the earliest.
- The parties were directed to cooperate fully in the mediation process.
- The matter would be listed after eight weeks for further directions.
Crucially, until the mediation concludes, the Court ordered that:
- Both parties must maintain the status quo regarding the disputed iron ore.
- Any pending civil or criminal proceedings between the parties shall remain stayed until the mediator submits his report.
Case Title:
Euro Pratik ISPAT (India) Private Limited v. Geomin
Special Leave to Appeal (C) No.26908/2025
Read Order:
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