ACC LIMITED Vs. JAGANNATH PLASTIPACKS

JUDGEMENT

(1.) THIS Civil Revision is directed against the Order Dated 17.09.2003 passed by the Learned Civil Judge (Senior Division), 1st Court, Cuttack in C.S. (III) 110/02.

(2.) THE Defendant is the Petitioner. The opposite party as the Plaintiff filed the suit for recovery of a sum of Rs. 36,20,319.01 paise from the Defendant. The Defendant placed orders for certain goods with the Plaintiff which was delivered by the Plaintiff in the defendant's factory premises at Bargarh. The amount in lieu of the said goods having not been paid by the Defendant, the Plaintiff filed the suit. After receiving the notice of the suit, Defendant before filing its written -statement filed a petition disputing the territorial jurisdiction of the Court. Thereafter, he filed his written -statement on merit as well as on territorial jurisdiction. According to the Defendant, in view of the Explanation -2 to Section 20 of the Code of Civil Procedure (in short 'the Code'), as the corporation is carrying on the business at its sole and principal office at Bargarh, no part of cause of action arises within the territorial jurisdiction of the Court at Cuttack.

(3.) THE Learned Counsel appearing for the Defendant -Petitioner submitted that the Learned Civil Judge has not taken into consideration the fact that the Defendant is a corporation and in view of the provisions contained in Section 20 of the Code and the Explanation thereto, the reasoning given by the Learned Civil Judge are not applicable to a transaction in which a Corporation or a Company is involved. He further submitted that the Learned Civil Judge has exercised his jurisdiction illegally and with material irregularity. Thus, the impugned order needs to be reversed in exercise of the revisional jurisdiction of this Court.