4. Parties to be subject to Court’s jurisdiction.—Where the agreement has been filed, the parties to it shall be subject to the jurisdiction of the Court and shall be bound by the statements contained therein.
Order XXXVI Rule 4 CPC: Parties to be subject to Court's jurisdiction
Bare Act text
Text of the Code of Civil Procedure, 1908 (Act No. 5 of 1908), First Schedule, as amended, including the changes for commercial disputes made by the Commercial Courts Act, 2015. Source: India Code, Government of India.
In simple words
Once an agreement stating a case for the Court's opinion has been filed, the parties to it become subject to the jurisdiction of the Court and are bound by the statements contained in it.