the suit, And the territorial limitation of the court need to be taken into

pecuniary value of
the
consideration.
for adjudication in front of the court, and the court lhas all
forth by the litigant
matteris put
When the
Subject-Matter) jjurisdictions, then only that court can try the matters
(pecuninry, territorial and
these case, the court does not have any of the above mentioned jurísdictions
the litigants. In
so brought by will be either termed as irregular exercise of jurisdiction or lack of jurisdiction
and stilltry
the suit, it
decision void or voidable depending upon the situations.
which may tuntlhe
PLACE OF SUING

suit, the first thing to determine is the place where the suit can be instituted. The
While instituting a
means the venue for trial. It has nothing to do with the competency of the
expression'place of suing
forum for institution of suits.
urt Sections 15 to 20 of the Code regulate the
PECUNIARY JURISDICTION (S. 15]
competent totny it.
According toS. 15, Every suit shall be instituted in ihe Court of lowest grade
Thse 15 reguires the plaintiff to file asuit in the court of the lowest grade competent to try the suit.
High Court from time
Here competency refers to pecuniary jurisdiction, which shall be determined by
to time.
Delvi, tl
The court of the lowest grade is the lowest Court in the hierarchy of Courts having the competent
vabuo laatd
pecuniary jurisdiction to try the suit. For the purpose of determining the Court in which the suit shall
be instituted, the suit is valued based on the subject-matter of the suit. After valuation of the suit. the
suit shallbe instituted in the lowest Court within whose pecuniary jurisdiction the suit falls.

Ilustration

Aand B, both residing at Pune, enter into a loan agreement in the year 2010 wherein A lends Rs.
1.00,000/- to B, to be repaid with interest within 5 years. B fails to repay the loan amount. Here the
valuation of the suit is Rs. 1,00,000/- plus the appropriate interest. Since the suit after valuation falls
within the pecuniary jurisdiction of Civil Judge (Junior) Division, the suit shall be instituted in the
Civil Judge (Junior) Division at Pune since it is the court of the lowest grade.
Object
The main objects of the section are:

1. To reduce the burden of the higher Courts

2. Alord convenience to the parties and witnesses whomay be examined by them in
such suits.
Valuation
ror ne purpose of determining the Court in which the suit shall be instituted, the
suit is valued based
on the subject-matter of the suit. In general. the valuation done
by the plaintiff is considered for the

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 Durpose of determining the pecuniary jurisdiction of the court, unless the court from the very face af
the suit finds it incorrect. So, if the court finds that the valuation done by the plaintiff is mot
that is cither undervalued or overvalued, the court will do the valuation and direct the
approach the appropriate fornum.
So. prima facie, it is the plaintif's valuation in the plaint that determines the jurisdiction of the court
and not the amount for which ultimately dectee may be passed. Thus, if the pecuniary jurisdiction t
the court of lowest grade is, say, Rs. 10,000/- and the plaintiff filed a suit for accounts wherein he
plaintiff valuation of the suit is well within the pecuniary jurisdiction of the court but court latter finds
on taking the accounts that Rs. 15,000/- are due, the court is not deprived of its jurisdiction to pass a
decree for that anmount.
matter
Usually, a court will accept a valuation of the plaintiff in the plaint and proceed to decide the
on merits on that basis, however, that does not mean that plaintiff in all cases are at liberty to assign
to file the suit.
J
any arbitrary value to the suit, and to choose the court in which he wants

If it appears to the court that the valuation is falsely made the plaint for the purpose of
avoiding the
valuation are
jurisdiction of the proper court, the court may require the plaintiff to prove that the
proper. to pou Hhiv
TERRITORIAL JURISDICTION [SS. 16-20]
based on the territorial
For the purpose of determining the place where the suit can be instituted
jurisdiction of the courts, suits may be divided into four classes -

e. Suits in respect of immovable property:|6 -18

f Suits for movable property; - 19
Suits for compensation for wrong (tort); and -19
h. Other suits 20

Suits in respect of Immovable Property [S. 16-18]

According to S. 16,
S. 16 incorporates the rule of lex situs i.e. the place where the property situate.
limits of whose
suits in respect of immovable property must be filed in the court within the lcal
jurisdiction the property is situate.
S. 16 gives five kinds of suits related to immovable property, wherein the suit can be instituted in the
Court within whose jurisdiction the property is situate, subject to the pecuniary jurisdiction. The tive
kínds are, suits:
a. For the recovery of immovable property.

b. For the partition of property.

C. For foreclosure, sale, or redemption.(nortgage), or charge upon the property

27
 inmmovable property.
d For determining any other nght to or mterest in Nature of suits (Subject-matter jurisdiction)
compensation for wrong to imnovable property
For 2. Pecuniary jurisdiction
the
uAte the oeneral ule is that the suit is to be instituted where the immovable property is situate Suits in respect of compensation for wrongs to persons or movables (S. 19
obtain relief or compensation fr es
nrovisotoS. 16 states that in case the surt is being nled to This section is based on the rule of lex delecti. It states that if the suit is regring cpenstin foe
the plaintiff cither in the Court
imnovable property. it can be instituted at the optionof wrongs to person or to any movable property the plaintiff will hve the oçfion to fie te sit ither in
situate, or
1 Within whose local imit the property is the court within whose local limit

2 Withinwhose local limit defendant 1. the wrong was committed or

Actually and voluntarily resides
2. the defendant
Carries on business
Personally works for gains a. resides or
b carries on business or
satisfied:
Provided that the following conditions are
C. personally works for gain
defendant.
Property is held by or on behalf of the
Illustration
defendant.
Reljef sought can be entirely obtained through the personal obedience of the
A. residing in Delhi, hits B in Calcutta. B may sue 4 either in Calcutta or in Deihi Here the
" Pronerty is situate in India action arose in Calcutta, and the defendant resides at Delhi. Therefore the competert conts in Delt
In case the property in dispute is situate in the jurisdiction of different courtsas per Section 17, the and Calcutta have concurrent jurisdiction and the suit may be insütuted at ary of hese comnetet
uit can be instituted in anv of the Courts within whose jurisdjction any portion of property is situate. COurts.

The only condition is thar the entire claim must be cognizable by such Court.
Other suits [S. 20]
wtose
It was held in Subiect to limitations under sections 15 to 19, every suit shall be instituted in Court within
local limits of jurisdiction
Anand Bazaar Patrika v. Biswanath Prasad
resides caTries business cr
1. Defendant(s) at time of commencement of suit actually or voluntaly
ASuit for the specific perfornance of contract for sale with possession, it has to be instituted in the
trade or personally works for gain.
Court in wh0se jurisdiction the property is situate and cannot be filed where cause of action arises. commencement of suit actually or vountarily
2. any of the defendant (if more than one) at time of
Place of institution of suit where local limis of jurisdictionofCourts are uncertain [S. 18] resides carries business or trade or personally works for gain, provided
As per S. 18 when it is uncertain as regards under which of the two more Courts the territorial
Court gives leave to do so
jurisdiction falls into, and one of such Courts has also ascertained such uncertainty, then it may
Defendants who don't reside there accept.
proceed to entertain and dispose the suit related to the property; after recording the existence of such
uncertainty. 3 Where cause of action arises.

Where no such staternent has been recorded and objection is raised in appeal or revision, the Higher Illustration
Court will not allow such objection unless, C resides in Delhi. A. B and CB and
together executea
C
A resides in Shimla, B resides in Calcutta,
it to A in Benaras.
Attime of institution of suit, no reasonable ground for uncertainty as to Court was there joint promissory note payable on demand and delivered
2. It has resulted in consequent failure of justice. A may sue B and Cat
In these cases, apart from uncertain territorial jurisdiction, the Court should be competent as regards: a. Benaras where Cause of Action.
leave.
other defendant accepts or Court grants
b Calcutta or Delhi where A/B resides provided
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