The main legal point established in the judgment is that the court has territorial jurisdiction to entertain a petition for specific performance of an agreement if the agreement was executed in the court's jurisdiction and the dispute arose in respect of the agreement.

By this petition, the petitioners seek interim measures under Section 9 of the Arbitration and Conciliation Act, 1996.

2. Admittedly, the Arbitral Tribunal has been already constituted in the above matter. The petitioners have made statement before the Arbitral Tribunal that this application would be withdrawn. The petitioners have taken out Chamber Summons in this proceedings (1215 of 2012) for seeking certain amendments. The Learned Counsel appearing for the petitioners submit that reliefs in the Chamber Summons be granted and the petitioners be permitted to withdraw this petition.

3. The Learned Senior Counsel appearing for the respondents, however, strongly oppose this petition on the ground that this court has no territorial jurisdiction to entertain, try and dispose of this petition and consequently this court has no jurisdiction to entertain the Chamber Summons filed by the petitioners. In view of the preliminary objection raised by the respondents this court shall first decide whether this court has jurisdiction to entertain, try and dispose of the present petition. Some of the relevant facts touching this issue are as under:-

4. By an agreement dated 21st February, 2002 executed between one Mr. Fardeen Nadir Shah Mulla and four others and the Respondent No.2, the respondents became entitled to a property situated at Village Majiwade, Thane admeasuring about 97,891.24 sq.mtrs.

5. On 3rd October, 2010, agreement in the form of Term Sheet was executed at Mumbai between the Petitioners and the respondents recording the agreement for joint development of the property and to form the LLP and to have development agreement in favour of LLP to be executed on or before 31st December, 2010 on the terms and conditions contained in the said agreement.

6. It is the case of the petitioners that on 22nd September, 2010, the petitioners paid a sum of Rs.5,04,00,000/-to the 2nd respondent.

7. On 3rd October, 2010, the petitioners paid a sum of Rs.10,00,00,000/-to the 2nd

8. By notice dated 27th April, 2012, the petitioners invoked arbitration clause and nominated Shri Justice F.I. Rebello (retired) as a arbitrator. The arbitral tribunal was constituted. The proceedings before the arbitral tribunal are pending.

9. The Learned Senior Counsel appearing for the respondents made following submissions:-

Respondent. On 3rd November, 2010, the petitioners paid further amount of

Rs.1,01,00,000/- to the respondents and on 16th November, 2010 a sum of

Rs.20,00,00,000/-.

(a) This court has no territorial jurisdiction to entertain this petition.

(b) The proceedings filed by the petitioners is for land which is situated outside Mumbai and thus this court has no territorial jurisdiction to entertain this petition.

(c) The petitioners have filed title dispute in respect of the suit property.

(d) In view of Section 42 of the Arbitration and Conciliation Act, 1996, if this application is entertained in this court which does not have jurisdiction, all subsequent applications arising out of that agreement shall also have to be filed in this court which also would be without jurisdiction.

10. The Learned Senior Counsel for the respondents placed reliance on the judgment of Supreme Court in case of Adcon Electronics Pvt. Ltd. vs. Daulat and another 2001 (4) MLJ 469). Reliance is placed on paragraphs 9, 11, 12, 13, 15, 16, 17 and 18. The Learned Senior Counsel invited my attention to prayers (d), (g), (k) and (l) of the statement of claim in support of the plea that the claim before the arbitral tribunal made by the petitioners was for land for possession and also for adjudication of title in respect of the suit land. Relevant paragraphs are setout as under:-

9. Thus, it is clear that under clause 12 of the Letters Patent, the High Court in exercise of its ordinary original jurisdiction will have power to receive, try and determine : (1) suits for land or other immovable property if such property is situated within