Jurisdiction
Rohan Pradhan
(Querist) 27 June 2016
This query is : Resolved
1. Contract executed in New Delhi.
2. Registered Office of Opposite Party is in Mumbai.
3. Agreement refers place of arbitration - Chennai.
My query is , which Court has got the jurisdiction.
Thanks
Nitish Banka
(Expert) 27 June 2016
Arbitration will be held in chennai
civil proceedings unless not barred in an agreement can take place in Delhi/Mumbai4
Warm Regards
Nitish Banka
nitish@lexspeak.in
R.K Nanda
(Expert) 27 June 2016
For filling case against co.only mumbai court has jurisdiction.
Guest
(Expert) 27 June 2016
Your query about jurisdiction of court is irrelevant, unless you specify, whether for execution of the arbitration award or for challenging the award or for any other purpose?
H. S. Thukral
(Expert) 27 June 2016
In an Arbitration proceedings, party can agree to a place of arbitration mutually unlike in civil suits where jurisdiction is as per civil procedure code. So in this case Chennai shall be place of Arbitration but it can be changed with mutual consent.
R.K Nanda
(Expert) 27 June 2016
Arbitration proceedings can be done at Chennai as per agreement.
Rohan Pradhan
(Querist) 27 June 2016
Thanks for the responses on the query.
Devajyoti Barman
(Expert) 28 June 2016
Chennai has no jurisdiction.
It is well established law that though the parties can agree to fix a particular place for jurisdiction but no jurisdiction can be created in a place where the law does not prescribe any jurisdiction.
Here nothing occurs in Chennai, SO parties can not create a jurisdiction in Chennai.
It has to be either in Delhi or in Mumbai.
Refer to A.B.C. Laminart Pvt. Ltd. & Anr. v. A.P. Agencies, Salem, AIR 1989 SC 1239.
Devajyoti Barman
(Expert) 28 June 2016
Read Section 20 of the Act which discusses the “place of arbitration” vis à vis Section 2(1)(e) which defines “Court” for the purposes of the Act.
See Bharat Aluminium v. Kaiser Aluminium, 2012 (9) SCC 552 as well where the court says-
“In our view, the legislature has intentionally given jurisdiction to two courts i.e. the court which would have jurisdiction where the cause of action is located and the courts where the arbitration takes place.”
Guest
(Expert) 28 June 2016
I endorse the views of Shri Devajyoti Barman.
H. S. Thukral
(Expert) 28 June 2016
Mr. Barman and Mr. Goyal.
What you are referring to is a suit and not an arbitration proceeding. Pl. refer to section 20 of the ACA Act.
DEFENSE ADVOCATE.-firmaction@g
(Expert) 28 June 2016
1) First of all the case law mentioned by Mr Burman is for foreign arbitration by constitution bench.
2) Arbitration can be any where as Thukral has said.
The current legal problem in the country for arbitration as the author Rohan has mentioned is immense .
Banks and NBFC S ARE fixing arbitration not one or two but in millions at remote places such as CHENNAI and the borrowers comes to its knowledge only when recovery process starts.
So Mr Roshan and similar others can immediately go the local Dt Court for setting aside the award since obtained by dubious methods.
Guest
(Expert) 28 June 2016
GOOD DETRACTION FROM THE MAIN ISSUE, WHEN THE QUESION OF THE QUERIST WAS QUITE SIMPLE WITH THE FOLLOWING READILY GIVEN FACTS:
1. Contract executed in New Delhi.
2. Registered Office of Opposite Party is in Mumbai.
3. Agreement refers place of arbitration - Chennai.
His query was, which Court got the jurisdiction. But since he did not prefer to respond to my question, "whether for execution of the arbitration award or for challenging the award or for any other purpose," the replies merely on their presumptions were not perhaps called for.
I find answers are pouring in merely on guess to make false one another's position.
I wonder, where is the question of arbitration to be at any place or the discretionary powers of the banks to fix at their own choice/ remote place, when both the parties had already agreed for Chennai?
Mr. Rohan has not given any background of the case and the purpose for asking the jurisdiction of the court. He put a question like just of an academic nature.
He thanked for the responses on the query, but still has not opened his mind for what purpose he wanted to ask for the juridiction.
SUPER SPECIALTY SERVICES FOUNDATION (INDIA)
Devajyoti Barman
(Expert) 28 June 2016
court HAS ROLE TO PLAY ONLY IN THE EVENT OF APPLICATION U/S 9, 11 OF 34 OF THE Act.
In that case Madaras High Court or Chennai District Court has no jurisdiction as far as section 9 or 11 is concerned.
Rohan Pradhan
(Querist) 28 June 2016
Sh. P. S Dhingra Ji, I apologize for not answering your question.
The place for arbitration proceeding is very much clear, as it is specifically mentioned in the agreement i. e. Chennai.
My query was if any litigation is instituted (other than arbitration), then which court has the jurisdiction to entertain the same.
From the above discussion I made it out that the Mumbai Court & Delhi Court will only have the Jurisdiction.
Please correct me if I am wrong.
Thanks
Guest
(Expert) 28 June 2016
Dear Rohan,
Your silence only could result in to controversies, as your query was not clear for what purpose you wanted to know about the jurisdiction.
I have already endorsed the views of Shri Devajyoti Barman, which advice you have already picked up rightly. Section 20 has no role to play, when there is no dispute against the agreed place of arbitration proceedings. That was clear from your query and now confirmed about that as well as the purpose of litigation other than arbitration for which you desired to know about the jurisdiction.
SUPER SPECIALTY SERVICES FOUNDATION (INDIA)
