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A contract is concluded in City X and was to be performed in City Y, where the alleged breach occurs.…

Subject to other jurisdictional requirements, a contract-damages suit may be instituted where a material part of its cause of action arose, including formation or the agreed…

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A contract is concluded in City X and was to be performed in City Y, where the alleged breach occurs. Subject to pecuniary and subject-matter jurisdiction, and with no valid exclusive-forum clause, which places have a cause-of-action basis for a damages suit under section 20(c) CPC?

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Answer and explanation

Correct answer D

Subject to other jurisdictional requirements, a contract-damages suit may be instituted where a material part of its cause of action arose, including formation or the agreed place of performance and breach. Residence of the plaintiff alone supplies no section 20 nexus. The named places must be genuine parts of the cause of action, not merely places where a document happened to be signed by one person.

Option feedback

Option A

City X is connected, but excluding City Y is wrong because performance and breach occurred there.

Option B

City Y is connected, but excluding the place of formation City X is wrong.

Option C

Plaintiff residence alone is not a section 20 connection.

Option D

Both formation and performance/breach are material parts of this cause of action.

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