Shivani Gadhavi
Published On: January 29, 2022 at 18:09 IST
The Delhi High Court on January 3, 2022 observed that in order to determine the territorial jurisdiction of any Court, the location of the principal office of a business is to be kept in mind during the adjudication of any matter.
The Delhi High Court Single-Judge Bench of Justice Yogesh Khanna was hearing a Petition filed by the Defendants in another case, who alleged that the Delhi High Court has no jurisdiction over the matter of the original case as the entire cause of action was carried out in Jaipur, Rajasthan.
The whole summarization of all the arguments put forth by the Petitioners, bring to the point that the contract between the two parties was entered in the city of Jaipur, invoices were raised in the same city, goods were supplied in Jaipur and it was also mentioned in clauses of the invoice that the contract would be subject to jurisdiction in Jaipur.
The Bench pointed out that “if one peruses the three impugned cheques, those were of the account in Punjab National Bank, of defendant no.1, being maintained at Shalimar Bagh, Delhi. Thus, the part of cause of action arose at Delhi coupled with the fact the company has its principal office at Delhi; this Court shall have the jurisdiction.”
The Bench furthermore added that “Merely by mentioning on the invoices viz. the disputes shall be subject to the jurisdiction at Jaipur would not snatch away the jurisdiction of this Court as there was no exclusion clause in the invoices.”