Emi default

Sir, I took a home loan of 30 lacs in 2007 in B'lore(to be paid in 15 yrs), & i paid d Emi's regularly till 2009. but due 2 recession i was not able 2 pay the Emi's 4 which the financier has filed a cheque bounce case for 30 lacs, in B'lore court, and subsequently an Arbitration case also is filed in New Delhi. (The place of transaction is B'lore)

Now pl let me know whether the financier can file two different cases in two different places on the same subject?  and can the financier claim the Principle amount without claiming the pending Emi's? And what action should i take now, bcoz i cant travel to delhi every now and then, even though i'm attending the Delhi case since one  year.


Dear Mallesh,

Is there any agreement between u and the financier with an arbitration clause and a covenant conferring exclusive jurisdiction to New Delhi?

If so, he is entitled to file arbitration case at New Delhi.

With respect to cheque dishonour case, the place where the cheque was issued, the place where the cheque was presented, the place where the cheque was dishonoured and the place where from the notice was issued have jurisdiction to entertain such a case.

So, if any of the above transaction took place at Bangalore, then the court at Bangalore is competent to entertain cheque dishonour case.

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IP Lawyer & Trademark Attorney

Rightly advised by Advocate Sridhar, you may request the Arbitrator for the change of venue and check the Arbitration clause in your executed agreement.


Generally speaking the loan document is a lengthy document and hardly any body go through it. Pro and cons of the document in rarest of the rarest cases are explained to the loaner. Even the agents help getting loans are not aware of the clauses of the loan agreement. This plea has been accepted by many courts




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