PRAMOD KUMAR GUPTA Vs. SKYLINK CHEMICALS

JUDGEMENT

(1.) Defendant has challenged the territorial jurisdiction of this Court to try this suit and by way of an application under Order 7 Rule 10 of the Code of Civil Procedure has sought return of 'the plaint to the plaintiff.

(2.) The defendant is a private limited company having its registered office at Bhavnagar 1 It approached the plaintiff sometime in the month of April 1996 with a view to have business relationship. As a result of various discussions the defendant appointed him as its representative/agent initially for the Northern Region. Amongst other terms and conditions it was also agreed between the parties that the billing of material would be done by the defendant directly on various clients and documents shall be negotiated directly to such clients as per terms and conditions of the purchase order. It was further agreed that the' defendant shall settle the commission amount every quarter by way of cheques. Plaintiff has sought recovery of Rs. 15,14,872.50 p. towards commission for the period ending 31st of March, 1998.

(3.) The plaintiff has invoked jurisdiction of this court on account of cause of action having arisen in Delhi inasmuch as that the defendant had approached the plaintiff at Delhi and appointed the plaintiff as .its agent at Delhi and as per the terms and conditions of the agreement the commission was payable at Delhi and as such the entire cause of action has arisen at Delhi.