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    <title>2021 (5) TMI 1097 - KARNATAKA HIGH COURT</title>
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    <description>Order XXXIX Rule 1(b) CPC permits interim restraint over a guarantor&#039;s undisclosed assets, including assets outside the suit schedule, where contractual disclosure and preservation obligations are breached and there is a risk of dissipation. The notes state that failure to disclose asset particulars cannot defeat protective relief when the guarantor controls that information. They further state that a Commercial Court may exercise prima facie jurisdiction over personal guarantee and negative-lien obligations where defendants reside within its territorial jurisdiction. Pre-institution mediation under the Commercial Courts Act is not mandatory where the suit seeks urgent interim protection against alienation of assets.</description>
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      <link>https://www.taxtmi.com/caselaws?id=470736</link>
      <description>Order XXXIX Rule 1(b) CPC permits interim restraint over a guarantor&#039;s undisclosed assets, including assets outside the suit schedule, where contractual disclosure and preservation obligations are breached and there is a risk of dissipation. The notes state that failure to disclose asset particulars cannot defeat protective relief when the guarantor controls that information. They further state that a Commercial Court may exercise prima facie jurisdiction over personal guarantee and negative-lien obligations where defendants reside within its territorial jurisdiction. Pre-institution mediation under the Commercial Courts Act is not mandatory where the suit seeks urgent interim protection against alienation of assets.</description>
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      <pubDate>Mon, 17 May 2021 00:00:00 +0530</pubDate>
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