SWASTIK GASES V. INDIAN OIL CORPORATION: AN ANALYSIS OF EXCLUSIVE JURISDICTION

AUTHOR – KEERTHI KASTURI, STUDENT AT SCHOOL OF LAW, CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE

BEST CITATION – KEERTHI KASTURI, SWASTIK GASES V. INDIAN OIL CORPORATION: AN ANALYSIS OF EXCLUSIVE JURISDICTION, ILE LEX SPECULUM (ILE LS), 1 (1) OF 2023, PG. 574-579, APIS – 3920 – 0036 | ISBN – 978-81-964391-3-2

ABSTRACT

The aim of this paper is to investigate the complexities surrounding the case of Swastik Gases v. Indian Oil Corporation and to analyse the implications of the jurisdiction clause in the consignment agency agreement. The primary problem lies in determining whether the Calcutta High Court holds exclusive jurisdiction over the appellant’s arbitration application under Section 11 of the Arbitration and Conciliation Act, 1996, given the jurisdiction clause specified in Clause 18 of the agreement. This case analysis employs a qualitative research method with a case study design, carefully examining the factual details, legal arguments, and court rulings. The analysis delves into the parties’ contentions, focusing on the appellant’s claim that Jaipur courts also have jurisdiction due to the cause of action arising partially in Jaipur. On the other hand, the respondent maintains that the jurisdiction clause grants exclusive jurisdiction to Kolkata courts. The major findings indicate that the absence of explicit terms like “alone” or “exclusive” does not diminish the jurisdiction clause’s exclusivity. The court’s ruling confirms Kolkata’s exclusive jurisdiction, upholding the validity and enforceability of jurisdiction clauses in commercial agreements. Consequently, the paper concludes that precision and clarity in contract drafting are crucial to avoid potential disputes. It emphasizes the importance of interpreting jurisdiction clauses based on the parties’ intentions and highlights the significance of such clauses in determining the appropriate forum for dispute resolution. The findings contribute to the broader understanding of jurisdictional issues in arbitration cases and underscore the need for unambiguous language in agreements to ensure efficient and fair resolution of conflicts between contracting parties.

Keywords- Arbitration and Conciliation Act, Cause of Action, Exclusive Jurisdiction, Expressio unius est exclusio alterius, Jurisdiction