A Kerala based company had a cement unit in Salem in the State of Tamil Nadu. Unit became Sick and the Company was not in position to pay wages to its labours. The workers approached Labour Court. Labour Court passed an

The present problem is similar to the case of Cement Workers Mandal v. Global Cements Ltd. (HMP Cements Ltd) & Ors [SC] Civil Appeal No.5360 of 2010 . The short question, which arises for consideration in this appeal, is whether the Division Bench was justified in holding that the Special Civil Appeal (SCA) filed by the appellant was not maintainable for want of territorial jurisdiction of the High Court. The Supreme Court held that the Division Bench erred in not noticing Article 226(2) of the Constitution of India while deciding the question arising in this case. In other words, the question as to whether the High Court has territorial jurisdiction to entertain the appellants petition (SCA) or not, should have been decided keeping in view the provisions of Article 226(2) of the Constitution read with Section 20 of the Code of Civil Procedure, 1908 (for short, "CPC"). Article 226(2) of the Constitution further empowers a High Court to issue any order, directions or writ as provided in clause (1) of Article 226 of the Constitution in such writ petition notwithstanding that seat of such Government or the Authority or the residence of such person against whom the writ petition is filed does not fall within the territories of the "A" High Court but falls in the territories of the "B" High Court. In the light of these three reasons, we are of the view that the part of the cause of action as contemplated in Article 226 (2) of the Constitution has arisen within the territorial jurisdiction of the High Court for filing the petition (SCA) to claim appropriate reliefs in relation to such dispute against respondent No. 1Company. In our considered opinion, the expression "the cause of action, wholly or in part, arises" occurring in Article 226(2) of the Constitution has to be read in the context of Section 20(c) of CPC which deals with filing of the suit within the local limits of the jurisdiction of the Civil Courts. In the light of the foregoing discussion, we are of the view that the appellants petition (SCA) was maintainable in the High Court in as much as the part of the cause of action to file such petition did accrue to the appellant herein (petitioner) within the territorial jurisdiction of the Gujarat High Court. In these circumstances, the SCA was required to be decided on merits by the Gujarat High Court. In view of the foregoing, the appeal will succeed in the given case.