Territorial Jurisdiction refers to the authority a court has over cases within its specific geographical territory.
In the matter of Anisminic Ltd. V. Foreign Compensation Commission[9], The House of Lords held that the that any mistake of law made by an adjudicating authority in the decision will be null and void and that a statutory prohibition provision doesn’t bar the court’s jurisdiction from judicial review except it is explicitly expressed. 1) The power to designate a place / seat of choice by the parties to a contract; and 2) The Jurisdiction of Court at the seat of arbitration has been conferred by statute on a conjoint reading of Section 2(1)(e), Section 20 and Section 28 respectively as has been read into by Balco and Indus Mobile. Its jurisdiction must include the power to hear and decide the question at issue, the authority to hear and decide the particular controversy that has arisen between the parties.”, It is well-settled that parties cannot consent to confer jurisdiction of a court. In the United States, it impacts local, state and national court systems and is required for the legal prosecution of a case under United States law. Jurisdiction under Code of Civil Procedure 1908.
[22], [1] Ujjan Bai v. State of UP, AIR 1962 SC 1621, [2] Addl Collector of Customs v. Best and Co, AIR 1966 SSC 1713, [3] Kalyan Biswas v. Bahadur Khan, AIR 1925 Cal 1258, [4] Radhakishan v. Ludhiana Municipality, AIR 1963 SC 1547, [7] Hakam Singh v. Gammon (India) Ltd., (1971) 1 SCC 286, [8] Ujjan Bai v. State of U.P., AIR 1962 SC 1621, [12] LIC v. Indian Automobiles & Co., (1990) 4 SCC 286 at pp.
The term “subject matter” in Section 2(1)(e) is confined to Part I.
Original jurisdiction is jurisdiction inherent in, or conferred upon, to a court of the first instance. 293-294, [13] Ujjan Bai v. State of U.P., AIR 1962 SC 1621, [14] Umrao Singh v. Bhagwati Singh, AIR 1965 SC 15, [15] Premier Automobiles v. Kamlekar Shantaram, (1976) 1 SCC 496, [16] Abdul Waheed Khan v. Bhawani, AIR 1966 SC 1718, [18] Premier Automobiles v. Kamlekar Shantaram, (1976) 1 SCC 496, [19] Kiran Singh v. Chaman Pashwan, AIR 1954 SC 340, [20] Baba Dai v. Muneswar, AIR 1985 Pat 67, [21] Kaushiklal v. Mafatlal Industries, AIR 1995 Guj 115, [22] R.S.D.V Finance Co. v. Vallabh Glass Works, AIR 1993 SC 2094.
The matter of grave concern is: How the absence of jurisdiction cab be segregated from irregular or erroneous exercise of jurisdiction. No other court or authority can render a judgment or pass an order for such kind of matters. However, there have been instances where some Courts have sought to distinguish Balco and ABC Laminart and held that exclusive Jurisdiction clause would not apply to Courts which do not possess 'proper' Jurisdiction. The 'neutral' place/seat of Arbitration in a contract is fixed by the parties to a contract after taking into a host of considerations that is mutually agreeable between them (irrespective of whether the cause of action arises or not in the 'neutral' seat). 2) Where the designated seat has been fixed by the parties to be a neutral place and no cause of action arises in the said place:-. Concurrent jurisdiction is a jurisdiction which may be exercised by different courts or authorities between the same parties, at the same time and over the same subject-matter. v. Anuradha Chemicals [2012 (2) SCC 315], Swastik Gases (P) Ltd v. Indian Oil Corp [2013 (9) SCC 32]. (i) in the case of an arbitration other than international commercial arbitration, the principal Civil Court of original jurisdiction in a district, and includes the High Court in exercise of its ordinary original civil jurisdiction, having jurisdiction to decide the questions forming the subject-matter of the arbitration if the same had been the subject-matter of a suit, but does not include any Civil Court of a grade inferior to such principal Civil Court, or any Court of Small Causes; Two scenarios frequently arise whilst choosing the territorial Jurisdiction of a Court: Scenario 1: Where the contract between the parties is silent on the Seat of Arbitration:-. Questions of the accuracy of an assessment, apart from its constitutionality, are for the decision of the authorities and civil suit doesn’t lie if the orders of the authorities are pronounced to be conclusive or there is an express prohibition in a specific Act.
Therefore, once the Juridical seat of arbitration is designated, it would be akin to conferment of exclusive Jurisdiction and only the court at that seat which exercises supervisory powers over the Arbitral process can grant Interim measures under S.9 even if no cause of action has arisen at that seat. area wise. Sethi v. R.P. for causes which have been adjudicated by courts of original jurisdiction.
If the court lacks territorial jurisdiction, it does not have the authority to make a ruling, or to hand down a sentence. So the above settled position would … Where an Act creates an obligation and enforces its performance in a specified manner, that performance cannot be enforced in any other” manner. The jurisdiction of a tribunal or any other authority stands on a different footing. However, Gujarat High Court has held that in view of the amendment of Order 14 Rule 2 of the code, stated it is not proper to hear the issue regarding jurisdiction as a preliminary issue and the said issue has to be decided along with other issues during evidence stage. There has been various pro and contra deliberations on this situation, whether a Section 9 application can be maintained before a Court where the parties designate the Seat of Arbitration at a 'neutral' place where no cause of action arises in the said place. § 7, Section 7(3) is the most significant, and provides: The term "special maritime and territorial jurisdiction of the United States," as used in this title, includes: . A court has to determine whether it has the jurisdiction to decide a suit with reference to initial assumptions made.
These limits are fixed by the Government. Its purpose is to identify the courts having supervisory control over the arbitration proceedings. In our view, the legislature has intentionally given jurisdiction to two courts i.e. This was necessary as on many occasions the agreement may provide for a seat of arbitration at a place which would be neutral to both the parties.
Kapur[10], defined the difference between jurisdictional error and error of law within the jurisdiction which is as follows: The distinction between jurisdictional and non-jurisdictional error is ultimately based upon a foundation of sand. All the courts and tribunals have fixed local or territorial limits, where they can’t exercise their jurisdiction beyond that. . Accepting the narrow construction as projected by the learned counsel for the appellants would, in fact, render Section 20 nugatory. Registered members get a chance to interact at Forum, Ask Query, Comment etc. [2], As per the proviso of section 9 of the code, the court shall have jurisdiction to try all suits of civil nature excepting suits of which cognizance is either expressly or impliedly barred. In the above paragraphs, the Supreme Court has interpreted Section 2(1)(e) and held that the legislative intent of “subject matter of the arbitration” was to identify Courts having supervisory control over the seat of Arbitration and this provision was to provide for an additional Jurisdiction [in addition to the courts exercising 'proper' Jurisdiction] upon a Court at the 'seat' of the arbitration which otherwise would not possess Jurisdiction in the matter. All rights reserved. [17], Chief Justice Hidayatullah summarised the following principles relating to the exclusion of jurisdiction of civil courts: As per section 21 objection as to jurisdiction would not be entertained by the Appellate or Revisional Court unless the same was raised in the trial court. This would be irrespective of the fact that the obligations to be performed under the contract were to be performed either at Mumbai or at Kolkata, and only arbitration is to take place in Delhi. Therefore, it would be the Court under which the Seat of Arbitration is situated to have territorial Jurisdiction to entertain an application under Section 9 in exclusion to all other Courts despite them possessing 'proper' Jurisdiction. It is not sufficient that it has some jurisdiction in relation to the subject-matter of the suit. As per Black’s Law Dictionary, it is defined as, “relating to providing rights and remedies sought by civil actions as contrasted with criminal proceedings”. Jurisdiction means the authority to decide.
[1] It also denotes the authority vested with a court to administer justice not only in respect to the subject-matter of the suit but also to the local and pecuniary limits of its jurisdiction.
All the court or tribunal are not only entitled but bound to determine whether they can exercise their jurisdiction in the matter filed before them or not.[12]. A judgement rendered or decision given by a foreign court is a “foreign judgement”. Indeed, even the High Court can’t go into that question on a revision or reference from decisions of tribunals.
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