Original contract was entered - all transactions took place at Bangalore - court in Chennai does not have Jurisdiction

Citation

CDJ 2011 MHC 1058

Motila Oswal securities Ltd rep.by it's branch manager vs D.Renuka and others

Head Note

Arbitration and Conciliation Act 1996 - Sections 2(1)(e), 5, 7 to 9, 34, 34(2) & 42, Arbitration Act 1940 - Sections 2(c), 14(2), 31 (1) & 31(4), Civil Procedure Code - Section 20(c) - The sweeping power of jurisdiction - cannot be conferred on a Court -where no cause of action has ever arisen - simply because after the award passed a Petition is made before this Court under Section 34 of the Act (Para 18)

Original contract was entered - all transactions took place at Bangalore - no cause of action has ever arisen at Chennai - except the National Stock Exchange of India Limited has its regional office at Chennai - in respect of four southern States - Court cannot have jurisdiction in respect of the subject matter of dispute (Para 22)

Cases Referred:
M. Venkatasamiappa v Srinidhi Ltd., 1950 (1) MLJ 709
Sushil Ansal v Union of India, AIR 1980 Del. 43
Vissamseth Chandra Narasimham v Ramdayal Rameswaralal & others, AIR 1966 A.P. 134
Gulati Construction Co., Jhansi v Betwa River Board, AIR 1984 Del. 299
Paramita Constructions Private Ltd. v UE Development India (P) Limited, 2008 (3) Arb. LR 522 (A.P)

Comparative Citations:
2011 (1) CTC 303, 2011 (3) MLJ 89