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Author Topic: Jurisdiction of courts  (Read 165 times)

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Offline S Natarajan,IRSS

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Jurisdiction of courts
« on: June 23, 2017, 10:53:47 AM »
Dear All,

Good Evening. I am S.Natarajan,IRSS working as Senior Materials Manager,Southern Railway.

I request you to kindly clarify my doubt regarding a case,which i am handling at present. I am from non-legal background and hence find it difficult in understanding the case.

Our job is to procure materials to be used in Southern Railway by entering into contracts with several firms. In one such instance, Toilet soap was procured from a firm by entering into a contract with it. Our contracts are governed by Indian Railway Standard (IRS) Conditions of Contract. The same was clearly mentioned in our Purchase Order and the firm has agreed to it.

The firm was supposed to supply the soaps as per the provisions of Indian Standards (IS:2888-1964).However,the supplies were found to be below standards and hence they were eventually rejected.

The firm contested the rejection and filed a civil suit in its place of business. As per the IRS Conditions of Contract, firm must have resorted to arbitration first before proceeding for litigation. Also, it is clearly mentioned in IRS conditions of contract regarding jurisdiction of courts that only those courts have the jurisdiction where the tender has been accepted.

In this case, our place of business is different from the supplier's place of business. Since the acceptance of tender is done at our place of business, is it legally valid for the firm to file a suit in their place of business and not at ours?

Can this case be dismissed on the grounds that the case must be heard in the courts located at our place of business only?

Requesting you to kindly clear my doubts.

Thanking You,
With Regards,
S.Natarajan,IRSS
Mobile: 90031 60796


 

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