THE BAHREIN PETROLEUM CO. LTD. vs P. J. PAPPU AND ANOTHER

The Supreme Court held that the appellants did not waive their objection to the territorial jurisdiction of the trial court under Section 34 of the Arbitration Act, 1940. The Court clarified that an application for stay does not imply recognition of jurisdiction, and the objection can be raised even after an appeal under Section 39(1). The High Court's ruling was overturned, affirming that the appellants maintained their jurisdictional objection throughout the proceedings.