Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

1995 (4) TMI 247

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 6 of the articles of association of the first respondent company in violation of the rights of the plaintiffs under the said articles. In I.A. No. 267 of 1995, the injunction was for restraining respondents Nos. 2 to 6 from transferring the shares held by them in the first respondent company to any persons without offering them in the first instance to the plaintiffs and for restraining the company from registering or giving any effect to the transfer of such shares. In both the applications, the orders passed are in the following terms : "Heard and perused. Issue notice with copy of documents. Ad interim injunction granted till February 9, 1995." Order XXXIX, rule 3 of the Code of Civil Procedure, 1908, contains a specific provision th .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... restrained from exercising a right which such party claims to exercise either under a statute or under the common law, must be informed why instead of following the requirement of rule 3, the procedure prescribed under the proviso has been followed. The party which invokes the jurisdiction of the court for grant of an order of restraint against a party, without affording an opportunity to him of being heard, must satisfy the court about the gravity of the situation and the court has to consider briefly these factors in the ex parte order. We are quite conscious of the fact that there are other statutes which contain similar provisions requiring the court or the authority concerned to record reasons before exercising power vested in them. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... order of injunction without notice to other side, it must record the reasons for doing so and should take into consideration, while passing an order of injunction, all relevant factors, including as to how the object of granting injunction itself shall be defeated if an ex parte order is not passed." In the same case, the Supreme Court has also pointed out that the residence of a company in India is where its registered office is located and normally cases should be filed only where the registered office of the company is situate. In the present case, admittedly all the defendants in the suit are only in Coimbatore. The first defendant is a company, which has its registered office at Coimbatore. Defendants Nos. 2 to 6, who are the share .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... is also stated by him that they prayed for an adjournment and the matter was adjourned to February 14, 1995. It is submitted that from the said date, the matter was adjourned to February 17, 1995, and then to February 20, 1995. It is vehemently contended that the revision petitioners have not brought to the notice of this court the factum of their having entered appearance in the suit and filing a counter for the purpose of contesting the applications. It is also argued that on February 17, 1995, the revision petitioners did not bring to the notice of the trial court or to the plaintiffs that they had obtained an interim order of suspension from this court in these civil revision petitions. It is, therefore; contended that the revision peti .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ed by them that the plaintiffs were not willing to get along with the proceedings and they took an adjournment on February 14, 1995, and again on February 17, 1995, and the matter was posted to February 20, 1995. In view of the disputed facts, it is not possible to accept the contention that the revision petitioners had suppressed some facts before this court when they obtained an interim order from this court. The contention that they had not brought to the notice of the trial court or the plaintiffs, the passing of the interim order by this court will not give rise to any argument in these revision petitions to help the respondents to contend that the revision petitions shall be dismissed. It is only a subsequent cause of action, if at .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates