I. P. MUKERJI, ANIRUDDHA ROY
Techma Engineering Enterprise Private Limited – Appellant
Versus
Union of India – Respondent
JUDGMENT :
1. We are concerned here with a forum selection clause in a purchase contract dated 25th January, 2021 between the parties, containing an arbitration clause.
2. Clause 17.1 of the agreement between the parties is material and is set out below :
3. In an application under Section 9 of the Arbitration & Conciliation Act, 1996, this Court had passed an interim order on 18th August, 2021 restraining the respondent from taking any "steps" against the appellant.
4. By the impugned judgement and order dated 11th February, 2022, the Section 9 application was dismissed and the said interim order vacated on the ground that this Court had no jurisdiction to entertain it.
5. The question before the Court was whether the above term of the agreement could be called a forum selection clause and if yes, whether by virtue of that clause the jurisdiction of any court was ousted?
6. The learned judge has come to a specific finding that the headquarters of the respon
The main legal point established in the judgment is the interpretation and enforcement of a forum selection clause in a purchase contract, which explicitly designated the headquarters of the Zonal Ra....
The existence of a jurisdiction clause in an agreement makes the intention of the parties clear, and it is not necessary to read such clauses like a statute.
Designation of the seat of arbitration must be clearly expressed; conflicting jurisdiction clauses require a harmonious construction favoring the overarching agreement.
Once seat of arbitration is replaced by mutual agreement, parties have to be referred to Courts at that place for resolution of Section 34 petition.
The court emphasized the importance of resolving the question of jurisdiction before proceeding with the merits of the matter and highlighted the necessity of giving the other party an opportunity to....
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