Pleading-based territorial jurisdiction in passing off suits requires real material; bare assertions and a lone bill were insufficient.

A plaint in a passing off action was held liable to rejection under Order VII Rule 11 CPC because the plaintiff failed to disclose a real cause of action and a proper territorial basis for Delhi jurisdiction. The Court held that, for such an application, only the plaint can be examined and a written statement cannot be relied on. A solitary bill and bare assertions that the defendant sold goods in Delhi were insufficient to show that the defendant carried on business in Delhi or that the cause of action arose there. The plaint was therefore rejected for want of territorial jurisdiction.

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Issues: Whether the plaint was liable to be rejected under Order VII Rule 11 of the Code of Civil Procedure, 1908 for want of cause of action and territorial jurisdiction.

Analysis: For deciding an application under Order VII Rule 11, the pleadings in the plaint alone are to be examined and the written statement cannot be relied upon. The plaint asserted jurisdiction on the basis that the defendant was selling the impugned goods in Delhi and produced a single bill of Batra Medical Hall. The Court found that this solitary document, coupled with categorical denial by the defendant, did not substantiate the assertion that the defendant carried on business in Delhi or that the cause of action arose within Delhi. In a passing off action, jurisdiction is governed by Section 20 of the Code of Civil Procedure, 1908, and the plaintiff must disclose a real and substantive foundation for territorial jurisdiction. Bald assertions unsupported by cogent material are insufficient to confer jurisdiction. The Court also noted that related litigation between the parties at Ahmedabad did not assist the plaintiff in establishing jurisdiction in Delhi.

Conclusion: The plaint was rejected under Order VII Rule 11 of the Code of Civil Procedure, 1908 and the plaintiff failed to establish territorial jurisdiction.

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