INDIA Law and Practice Contributed by: Pravin Anand and Rohil Bansal, Anand and Anand
5.10 Dispositive Motions In India, the following options are available for nar - rowing down or eliminating a claim, completely or partially: • where a baseless trade secrets suit is filed, the respondent can file under Order VII Rule 11 of the Code of Civil Procedure, seeking dismissal of the complaint on grounds such as non-disclosure of any cause of action, etc; • as per Order VI Rule 7, the court may at any stage of the proceeding strike out or amend any pleading that may be unnecessary, scandalous, frivolous or vexatious, or which may tend to prejudice, embar - rass or delay the fair trial or cause abuse of the process of law or the court; and • sometimes, the court exercises its power and frames the main issues to be proved through trial, thereby ensuring that the matter reaches a logical conclusion (see Order XIV Rule 1). 5.11 Cost of Litigation The approximate cost for a trade secrets litigation (civil commercial suit) before the Delhi High Court, from start to finish, would be based on various fac - tors, such as: • court fees; • lawyer’s fees; • fees of local commissioners and independent expert witnesses; and • photocopying, travel, mail/courier and such ancil - lary expenses. There is no specific law that bars third-party funding of litigation in India. One of the earliest cases in this regard was the judgment of the Privy Council in Ram Coomar v Chunder Canto High Court of Judicature at Fort William in Bengal, where the court held that there is no law that declares it illegal for one party to receive and another to give funds for the purposes of carrying on a suit. However, such agreements should not be contrary to public policy. In the case of BCI v AK Balaji AIR 2018 SC 1382, the Supreme Court of India held that advocates in India cannot fund litigation on behalf of their clients. How -
ever, there appears to be no restriction on third parties (non-lawyers) funding the litigation. In Rangadurai v Gopalan 1979 AIR 281, the court held that the relationship between a lawyer and their client is highly fiduciary in nature, requiring a high degree of fidelity and good faith. Also, various provisions of the Bar Council of India Rules clearly state the following. • Rule 9 – an advocate must not act or plead in any matter in which they have a pecuniary interest. • Rule 18 – an advocate must not be a party to the fomenting of litigation. • Rule 20 – an advocate must not stipulate a fee contingent on the results of litigation or agree to share the proceeds thereof. • Rule 21 – an advocate must not buy, traffic in, stipulate or agree to receive any share or interest in any actionable claim. Nothing in this rule shall apply to: (a) stocks, shares and debentures of government securities; (b) any instruments that are, for the time being, by law or custom, negotiable; or (c) any mercantile document of title to goods. • Rule 22 – an advocate must not directly or indi - rectly bid for or purchase, either in their own name or in any other name, for their own benefit or for the benefit of any other person, any property sold in the execution of a decree or order in any suit, appeal or other proceeding in which they were in any way professionally engaged. • Rule 22A – an advocate must not directly or indi - rectly bid in court, auction or acquire by way of sale, gift, exchange or any other mode of transfer, either in their own name or in any other name for their own benefit or for the benefit of any other person, any property which is the subject matter of any suit appeal or other proceeding in which they are in any way professionally engaged. Section 49 (1)(c) of the Advocates Act, 1961 categori - cally mentions the standard of professional conduct and etiquette to be observed by advocates. Non-com - pliance can invite disciplinary proceedings and even debarment from practising law.
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