Mar 31, 2019SC Clarifies that Plea of Territorial Jurisdiction cannot be Raised through Application for Revocation of the Leave Granted under the Letters Patent Act, 1865
SC, in its decision dated March 7, 2019 in Isha Distribution House Private Limited v. Aditya Birla Nuvo Limited[1], has considered if the High Court was justified in allowing the defendants’ application for revoking the leave granted to the plaintiff under Clause XII of the Letters Patent Act, 1865 (‘LPA’). Setting aside the order of the High Court, SC held that a plea of territorial jurisdiction is a mixed question of fact and law, which ought to be raised in the written statement to enable the Court to try it on merits in accordance with Order XIV of the Code of Civil Procedure, 1908 and other relevant provisions. As such, a plea of such a nature cannot be tried by filing an application for revocation of the leave granted under Clause XII of the LPA. Accordingly, SC remanded the case to the High Court for deciding the plea of territorial jurisdiction afresh in accordance with the above observations.
[1] Isha Distribution House Private Limited v. Aditya Birla Nuvo Limited, Civil Appeal Nos. 25542555 of 2019 (arising out of S.L.P.(C) Nos. 1977719778 of 2017).