Full Judgment Text
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PETITIONER:
ALIGARH MUSLIM UNIVIERSITY ENTERPRISES (P)
Vs.
RESPONDENT:
VINAY ENGINEERING ENTREPRISES (P)
DATE OF JUDGMENT27/09/1993
BENCH:
AHMADI, A.M. (J)
BENCH:
AHMADI, A.M. (J)
PUNCHHI, M.M.
VENKATACHALA N. (J)
CITATION:
1994 SCC (4) 710
ACT:
HEADNOTE:
JUDGMENT:
ORDER
1. Special leave granted.
2. We are surprised, not a little, that the High Court of
Calcutta should have exercised jurisdiction in a case where
it had absolutely no jurisdiction. The contracts in
question were executed at Aligarh, the construction work was
to be carried out at Aligarh,, even the contracts provided
that in the event of dispute the Aligarh Court alone will
have jurisdiction. The arbitrator was from Aligarh and was
to function there. Merely because the respondent was a
Calcutta-based firm, the High Court of Calcutta seems to
have exercised jurisdiction where it had none by adopting a
queer line of reasoning. We are constrained to say that
this is a case of abuse of Jurisdiction and we feel that the
respondent deliberately moved the Calcutta High Court
ignoring the fact that no part of the cause of action had
arisen within the jurisdiction of that Court. It clearly
shows that the litigation filed in the Calcutta High Court
was thoroughly unsustainable.
3.In the result we allow these appeals, set aside the
impugned orders of the High Court and direct that the
proceedings initiated in the High Court of Calcutta shall be
returned to the respondent for presentation in proper court.
The hearing cost is quantified at Rs 10,000 which Respondent
1 Vinay Engineering will pay, in any case before the
application is presented to the Aligarh Court.
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