In a recent judgment by the Delhi High Court, the court addressed a jurisdictional dispute regarding the concept of forum conveniens. The case involved a residential flat in India Bulls Centrum, Hyderabad, with joint owners as parties to the dispute. The court’s ruling sheds light on the importance of considering the convenience of all parties involved, rather than solely focusing on the location of the appellate or revisional authority. Stay tuned to learn more about how the court navigated this complex legal issue.
Facts
- The Court directed the Counsel for the Respondent to produce judgments to substantiate the contention of territorial jurisdiction.
- NCDRC has been challenged in the writ petition filed before the Court.
- A preliminary objection was raised regarding the Court’s territorial jurisdiction to entertain the writ petition.
- Notice was issued in the writ petition on 01.08.2022.
- The Petitioners are joint owners of a residential flat in India Bulls Centrum, Hyderabad.
- The case involves a residential flat bearing No 207 in Block ‘C’ of India Bulls Centrum.
Issue
- Consideration of whether the Court should entertain the writ petition
- Question raised: Should the Court entertain the petition solely based on the location of the Revisional Authority in Delhi?
Analysis
- The concept of forum conveniens requires the court to consider the convenience of all parties involved.
- The location of the appellate or revisional authority cannot be the sole determinant of forum conveniens.
- Forum conveniens varies depending on the specifics of each case and the nature of the dispute.
- The exercise of jurisdiction under article 226 is discretionary and not restricted solely to mala fide intentions.
- The court cannot ignore the concept of forum conveniens while exercising jurisdiction under articles 226 and 227 of the Constitution of India.
- The balance of convenience must be taken into account during such exercises of jurisdiction.
- The apex court has clarified the applicability of the doctrine of forum conveniens in cases where a part of the cause of action arises.
- The High Court may entertain a writ petition if even a small part of the cause of action arises within its jurisdiction, based on the Alchemist Ltd. case.
- The mere presence of a part of the cause of action may not compel the High Court to decide the matter on merits, and it can choose to refuse jurisdiction using the doctrine of forum conveniens.
- The doctrine of forum conveniens and the nature of cause of action must be considered by the High Court before deciding to entertain a writ petition, as per the Ambica Industries case and Union of India v. Adani Exports Ltd.
- The concept of forum conveniens does not mean that the court has to entertain a case solely based on a cause of action within its jurisdiction, as concluded in the New India Assurance Co. Ltd. case.
- The decision in the case of Sterling Agro Industries Ltd. has clarified that the situs of the appellate authority being in a particular place does not make that court the forum conveniens automatically.
- Any previous decisions of the court contradicting the conclusions stated in the judgment have been overruled.
- Factors considered under the principle of forum conveniens include the existence of a more appropriate forum, expenses, relevant laws, verification of essential facts, and other related aspects necessary for a fair resolution of the dispute.
- The High Court of Telangana has the jurisdiction to entertain the matter between the Parties.
- The judgment referred to by the Petitioner’s Counsel is not relevant to the current writ petition.
- The Court explicitly stated that it has not made any observations on the merits of the case.
- The present writ petition cannot be entertained solely based on territorial jurisdiction.
Decision
- Dismissal of the writ petition along with any pending application(s)
- Court’s decision to not grant the relief sought by the Petitioner
- Absence of further proceedings in the case
Case Title: VEMPARALA SRIKANT AND ANR. Vs. GENERAL SECRETARY, INDIA BULLS CENTRUM FLAT OWNERS WELFARE CO-OPERATIVE SOCIETY, HYDERABAD (2024:DHC:4044)
Case Number: W.P.(C)-11375/2022
