CHOLAMANDALAM INVESTMENTS & F.CO.LTD. vs RADHIKA SYNTHETICS

The Supreme Court addressed the jurisdictional issues arising from a hire purchase agreement under which M/s. Cholamandalam Investments & Finance (P) Ltd. sought recovery of dues from M/s. Radhika Synthetics Ltd. The Court held that the cause of action arose partly at Madras and partly at Bombay, thus affirming the jurisdiction of the Bombay High Court to entertain the suit filed by Radhika Synthetics. The Court emphasized that the plaintiff's claims regarding defective machinery did not negate the jurisdictional basis for the suit, as the agreement was executed in Bombay and the losses were incurred there.