Lanka Orient Leasing Company Ltd. v. Ali and Another – sllr 1999 volume 3 page 109

In the case between Lanka Orient Leasing Company Ltd. and Ali and Another, the court addressed the issue of whether an amendment to the answer, which raised a jurisdictional objection based on an arbitration clause, was appropriate under Section 146(2) of the Civil Procedure Code. It was held that the amendment was necessary for the right determination of the case, as the question of jurisdiction arose from the arbitration clause annexed to the plaint. The principle reaffirmed was that pleadings could be amended to address jurisdictional issues that are integral to the substance of the dispute. The decision relied on statutory interpretation of Section 146(2) and reflected the importance of allowing amendments where the central legal issue is founded on terms referred to in the plaint, ens