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2002 Supreme(SC) 198

G.B.PATTANAIK, S.N.PHUKAN, S.N.VARIAVA
Neycer India LTD. – Appellant
Versus
Gmb Ceramics LTD. – Respondent


JUDGMENT

G.B.PATTANAIK, J.

(1) THIS appeal is directed against the order dated 28/08/2000 of the Calcutta High Court on the question, whether the Calcutta High Court retains jurisdiction to entertain and decide the legality of an award passed by the arbitral tribunal?

(2) THE dispute centres round the "Forum Selection Clause" which was clause 24 of the agreement to the effect.

".... The city civil court, Madras shall be the only court, which shall have jurisdiction to enforce the arbitration award obtained under this clause".

(3) ACCORDING to the appellant, in view of the aforesaid Forum Selection Clause agreed to by the parties, it is the court at Madras which will have the jurisdiction and even if the city civil court does not have the pecuniary jurisdiction then the clause must be read to hold that the High Court at Madras only has the jurisdiction to entertain and decide the legality of an award. It transpires that way-back in the year 1990, an application had been filed by the respondent in the Calcutta High Court invoking its jurisdiction under section 41 of the Arbitration Act and the Calcutta High Court did pass an order in that appli

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