ACHRATLAL KESAVLAL MEHTA AND CO BY PROPRIETOR ACHRATLAL AND KESAVLAL Vs. VIJAYAM AND CO, BY PROPRIETOR, GVIJIARAGHAVACHARIAR

JUDGEMENT

(1.) This revision petition arises out of a suit instituted in the Madras Small Causes Court, and the only question raised is whether the suit can be entertained by the Madras Court.

(2.) The plaintiffs are a firm of merchants at Madras and the defendants are residents of Ahmedabad. The defendants firm was engaged by the plaintiffs as their Adat agents for the purpose of purchasing 80 bales of Ahmedabad dhoties from manufacturers at Ahmedabad and sending them to Madras. Ex. 1 is the deed of agreement which regulated their relationships inter se. The suit is for the recovery of the amount alleged to be due to the plaintiffs in respect of the several dealings between the parties.

(3.) The defendants besides denying the plaintiffs allegations on the merits also set up the plea that the suit should not be entertained by the Small Causes Court at Madras and that it should be instituted at Ahmedabad. They relied for this purpose on Clause 8 of Ex. 1, deed of agreement mentioned above, which runs as follows : " In all legal disputes arising out of this contract Ahmedabad will be understood as the place where cause of action arose."