The unseeded Indians were beaten 1-6 2-6 by their 11th seeded opponents in a contest that lasted one hour and nine minutes at the Melbourne Park.
Veteran Leander Paes and Purav Raja fought off a match point to shock formidable fifth seeds Bruno Soares and Jamie Murray and progress to the men's doubles third round at the Australian Open on Saturday.
Paes and Raja dispatched the pair of Nikoloz Basilashvili and Andreas Haider-Maurer 6-2 6-3 in their opening round.
Jeevan, now ranked 102, stood out with his well- calculated lobs and precise strokeplay, making a huge difference to the outcome of the match.
Leander Paes and Purav Raja won their first title together after joining forces as they lifted the Knoxville Challenger trophy with a close win over James Cerretani and John-Patrick Smith.
Sania Mirza and Rohan Bopanna have reached the quarterfinals of their respective events at the US Open but the fledgling partnership of Leander Paes and Purav Raja has fallen flat yet again.
Sania Mirza advanced to the third round of both the women's and mixed doubles events, while Rohan Bopanna and Purav Raja also won their respective mixed doubles matches
Sania Mirza and Rohan Bopanna advanced to the pre-quarters of the women's doubles and mixed doubles, respectively.
The Indian pair of Sharan and Raja lost a marathon battle in the second round of the men's doubles.
Purav Raja-Divij Sharan, Sania Mirza entered the second round of their respective events at Wimbledon.
Sania Mirza began her campaign with a win in mixed doubles with her partner Ivan Dodig of Croatia
Doubles specialists Leander Paes, Divij Sharan-Purav Raja, Rohan Bopanna and Sania Mirza will be seen in action at Roland Garros.
Leander Paes and his Brazilian partner Andre Sa had a one-set advantage but lost 6-4, 6-7(3), 4-6 to 10th seeded pair of Treat Huey and Max Mirnyi
It is the first time that an Indian team has clinched the Chennai Open trophy since the legendary Leander Paes and Mahesh Bhupathi took the title in 2011
The Indian duo, who will meet Purav Raja and Divij Sharan in the final, defeated the US-New Zealand pair by 7-6 (4), 6-4.
Divij Sharan and Purav Raja livened up the Chennai Open for home fans by storming into the doubles final as they scalped the second seeded Argentines Guillermo Duran and Andres Molteni
Sanam Singh defeated Germany's Nils Langer 6-1 6-4 to move to the singles pre-quarterfinals of the USD 50,000 hard court event, where he now faces American fifth seed Donald Young.
The top-seeded Indian pair beat David Kostner and Patric Prinoth 6-1 6-3 in the first round of the Euro 64,000 hard court event.