He is seeking for assault and battery, negligence, misfeasance of public office and breach of his fundamental rights.
The prince is applying to get a court order that the Government is liable for breach of statutory duty due to the acts of the policemen against him.
He is asking for special, general, punitive, exemplary and aggravated damages, interests and costs from the parties named in the suit.
His lead counsel Nizam Bashir said: "We are hopeful the matter will be settled amicably so that we can close this unfortunate chapter and move on in light of the fact there are sensitive matters involved and in the hope of maintaining cordial relationship with all relevant parties."
The case is fixed for case management before High Court judge Justice Nor Bee Ariffin on Aug 1.
Senior Federal Counsel Azizan Arshad has been roped in by the Attorney-General's Chambers to handle the case.
Sources said the court had directed the prince to reply to the defence statement by July 27.
In his suit, Tengku Muhammad Fakhry, 35, said he was in his car on May 4, 2010, when the then-Kelantan Ruler Sultan Ismail Petra left Istana Mahkota Kubang Kerian for the airport.
He said he was in front of his father's car when they were blocked by about 30 to 40 individuals, most of whom wore masks and were armed, who then surrounded their cars.
He said he was shocked and fearful for himself and his family when the policemen shouted at them and asked them to get out of their cars and surrender.
The car, he said, was driven in a dangerous manner by one of the masked men on the way the Kota Baru police contingent.
He said his three cell phones were seized, his personal particulars recorded and photographs taken while he was kept inside a room where he felt like a "prisoner".
He was later asked to follow them to Istana Mahkota where his weapon was ordered surrendered to the police.
In the May 3 suit, the prince said he suffered depression, mood disorders, anxiety, nervousness and nightmares due to the incident.
Among others, the prince has named former Inspector-General of Police Tan Sri Musa Hassan, former Kelantan police chief Datuk Abdul Rahim Hanafi, his deputy Datuk Amir Hamzah Ibrahim and Government as defendants.
In the defence statement dated July 12, the police officers said they had not pointed firearms, shouted or directed the prince to surrender.
They contended that they had introduced themselves as policemen and asked the prince to cooperate with tem.
The police and the Government said the prince had no right to claim for damages as they had conducted their duties as allowed under the Police Act.