Supreme Court Guidelines

CODE OF CIVIL PROCEDURE, 1908

ANTI-SUIT INJUNCTION

Modi Entertainment Network & Anr. v. W.S.G. Cricket Pte. Ltd.
AIR 2003 SC 1177: 2003 (4) sec 341: 2003 (1) SCALE 388: 2003 (1) SCR 480
Appeal (Civil) 422 of 2003
Dated: January 21, 2003

BENCH: Justices Syed Shah Quadri, Arijit Pasayat. Principles emerged for governing grant of an anti-suit injunction:

(1) In exercising discretion  to grant an anti-suit injunction  the court must  be satisfied of the following aspects:-

  • (a) The defendant, against whom injunction is sought, is amenable to the personal jurisdiction of the court;
  • (b) If the injunction  is declined  the ends of  justice  will  be defeated  and  injustice will be perpetuated; and
  • (c) The principle of comity – respect for the court in which the commencement or continuance of action/proceeding is sought to be restrained – must be borne in mind;

(2) In a case where more forums than one are available, the Court in exercise  of its discretion to grant anti-suit injunction  will examine as to  which  is the appropriate forum (forum conveniens) having regard to the  convenience  of the parties and may grant anti-suit injunction in regard to proceedings which are oppressive or vexatious or in a forum non-conveniens;

(3) Where jurisdiction of a court is invoked on the basis of  jurisdiction  clause  in  a contract,  the recitals  therein  in  regard to  exclusive or  non-exclusive  jurisdiction  of the court of choice of the  parties are not  determinative  but are relevant factors and when a question arises as to  the nature of jurisdiction  agreed  to  between  the  parties the court has  to decide  the same on  a true interpretation of the contract  on  the facts and in the circumstances of each case;

(4) A court of natural jurisdiction will not normally grant anti-suit injunction against a defendant before it where parties have agreed to submit to the exclusive jurisdiction of a court including a foreign court, a forum of their choice in regard to the commencement or continuance of proceedings in the court of choice, save in an exceptional case for good and sufficient reasons, with a view to prevent injustice in circumstances such as which  permit  a contracting  party  to  be relieved  of the burden of the contract; or since the date of  the  contract  the  circumstances  or subsequent events have made it impossible for the party seeking injunction to prosecute the case in  the  court of choice because the  essence of the  jurisdiction  of the court does not exist or because of a vis major or force majeure and the like;

(5) -where parties have agreed, under a non-exclusive jurisdiction clause, to approach a neutral foreign forum  and  be governed  by the law applicable  to  it  for the  resolution of their disputes arising under the contract, ordinarily no anti-suit injunction will be granted  in  regard  to proceedings  in  such  a forum  conveniens  and  favoured  forum as it shall be presumed that the parties have thought  over  their convenience  and all other relevant factors before submitting to non-exclusive  jurisdiction  of the court of their choice which cannot be treated just an alternative forum;

(6) A party to the contract containing  jurisdiction  clause cannot normally  be prevented from approaching the court of choice of the  parties  as it  would  amount  to aiding breach of the contract; yet when one of the parties to the jurisdiction clause approaches the court of choice in which exclusive or non-exclusive jurisdiction is created, the proceedings in that court cannot per se be treated  as vexatious  or oppressive  nor can the court be said to be forum non-conveniens; and

(7) The burden of establishing that the forum of choice is a forum non-conveniens or the proceedings  therein  are oppressive or vexatious would  be on  the  party so contending to aver and prove the same.

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