A.V.M.SALES CORPORATION vs M/S ANURADHA CHEMICALS PVT.LTD.

The Supreme Court addressed the issue of jurisdiction in contractual disputes, emphasizing that the exclusive jurisdiction clause in the agreement, which stipulated that disputes would be subject to Calcutta jurisdiction, is binding on the parties. The Court held that the Vijayawada court lacked jurisdiction to entertain the suit filed by the Respondent, as the agreement clearly indicated that any disputes arising from it would be resolved in Calcutta. Consequently, the Court set aside the judgments of the lower courts and directed that the matter be adjudicated in Calcutta as per the agreement's terms.