Introduction

Overview of the legal framework

Courts and alternative forums

• Ordinary civil courts: suits may be filed under the Code of Civil Procedure where an adequate remedy at law is claimed.
• Specialised commercial courts: where applicable, commercial divisions or specialist courts may have jurisdiction over certain business disputes.
• Arbitration and mediation: parties may resolve disputes through private arbitration or mediation if there is a valid agreement providing for those forums.

2026 update

Choosing the correct forum and jurisdiction

• Contract terms: many commercial contracts specify a dispute resolution clause that governs forum selection, governing law and whether disputes must be arbitrated or litigated.
• Subject‑matter jurisdiction: certain disputes arising under specific statutes or regulatory regimes may be assigned to specialised tribunals.
• Territorial jurisdiction: assess where the defendant is located, where a contract was performed, and any venue clauses in agreements.
• Arbitrability: confirm whether the dispute is arbitrable under Bangladeshi law, and whether public policy or statutory provisions restrict arbitration for particular subjects.

Key documentation and preparatory steps

• Collect and organise primary contract(s) and any amendments, schedules, purchase orders, invoices and delivery receipts.
• Preserve contemporaneous correspondence and records of meetings, emails, messaging app communications and other transactional records that tend to corroborate chronology or performance.
• Compile financial records and accounting entries relevant to the dispute, including payment histories and bank records where relevant.
• Identify witnesses and obtain witness statements where appropriate. Note that rules on witness statements and affidavit evidence differ between arbitration and court proceedings.
• Assess applicable limitation periods and any conditions precedent to litigation or arbitration specified in contract (for example, notice or cure periods).

Step-by-step: filing a civil suit in Bangladesh

1. Initial assessment and engagement of counsel

2. Pre‑action steps

3. Drafting and filing the plaint

• Names and addresses of parties;
• Concise factual background and chronology;
• Legal basis for the claim;
• Particulars of damage or loss claimed;
• Relief sought; and
• Verification or affidavit as required by procedural rules.

4. Court fees and stamp requirements

5. Service of process

6. Defendant’s response and interlocutory applications

7. Case management and disclosure

8. Trial

9. Appeal and enforcement

Arbitration and mediation: practical considerations

• Seat and governing law: the chosen seat of arbitration affects procedural rules and the court’s supervisory jurisdiction; the chosen governing law informs substantive rights.
• Appointment of arbitrators: follow the agreed procedure for appointing arbitrators and ensure arbitrators disclose any potential conflicts of interest.
• Interim measures: arbitral tribunals may be able to grant interim relief, but parties may also apply to local courts for urgent provisional measures in certain circumstances.
• Evidence and confidentiality: procedural flexibility in arbitration may allow tailored disclosure and confidentiality safeguards, but the scope depends on the arbitration agreement and rules selected.
• Enforcement: arbitral awards are enforced under statutory provisions; where cross‑border recognition is sought, international conventions may apply—seek legal advice for enforcement strategies.

Interim relief and urgent applications

Costs, funding and risk management

• Legal fees and disbursements for court filings, expert reports, translations and process service;
• Court fee structures and potential security or deposit requirements;
• Possibility of adverse cost orders and whether fee‑shifting rules apply;
• Alternative funding arrangements such as contingency agreements (where permitted), insurance, or third‑party funding—each having legal and ethical constraints.

Common procedural pitfalls and how to avoid them

• Failing to check and comply with limitation periods or contractual notice and cure requirements.
• Inadequate preservation of documents or destruction of evidence once dispute is foreseeable.
• Incorrect forum selection or service failures that give rise to jurisdictional objections.
• Poorly framed pleadings that fail to particularise claims or quantify loss.
• Underestimating the requirements for enforceability of settlements or awards.

Checklist for filing a commercial dispute

• Confirm the applicable dispute resolution clause and any mandatory pre‑action steps.
• Identify the correct court or arbitral seat and confirm jurisdictional rules.
• Compile primary documents, correspondence and financial records.
• Assess limitation period and preserve evidence.
• Obtain initial legal advice on merits, remedies and likely costs.
• Consider interim relief needs and timing for urgent applications.
• Plan for enforcement strategies, including potential cross‑border enforcement.

Practical drafting tips for pleadings and arbitral submissions

• Set out a clear chronology and separate factual averments from legal argument.
• Particularise breaches and link alleged breaches to specific contractual provisions.
• Quantify loss where possible and specify the method of calculation.
• Annex key documents in a numbered bundle and refer to bundle pages in the text.
• Identify jurisdictional points early if there is a risk of challenge.

Recent procedural and practice developments to monitor

When to seek tailored legal advice

• Multiple jurisdictions, cross‑border elements or foreign law issues arise;
• Urgent or exceptional relief is required (for example, freezing orders or preservation of assets);
• There is a risk of insolvency, receivership or other third‑party enforcement actions;
• Complex valuation, accounting or technical expert evidence is necessary;
• Contractual clauses raise complex interpretation issues or require urgent certification for arbitration.

How TRW Law Firm can assist with procedural and strategic tasks

Enforcement and cross-border considerations

Data protection and confidentiality considerations

Model timeline (illustrative only)

2026 practical considerations for foreign investors and multinationals

Five practical FAQs

Conclusion and next steps