1996 (3) TMI 471 - SC - Indian Laws

Whether the Delhi High Court has jurisdiction to entertain the suit? - Held that - No part of the cause of action had arisen within the jurisdiction on the original side of the High Court of Delhi and direct to return the plaint for presentation to the proper court. Appeal allowed.

Summary

The Supreme Court held that the Delhi High Court lacked jurisdiction to entertain a suit for perpetual injunction against enforcing a bank guarantee dated July 16, 1977, as the cause of action did not arise in Delhi. The contract was executed in Bombay, and performance was also required in Bombay. The appeal was allowed, setting aside the Division Bench's order and restoring the learned single Judge's decision to return the plaint for presentation to the proper court.