Court : Gujarat
Reported in : [1977]108ITR517(Guj)
..... with respect, the correct approach which the tribunal should have adopted was whether there being no specific agreement to the contrary as required by section 42(c) of the indian partnership act, from the facts and circumstances of the case an inference can be drawn that there must have been an agreement between the surviving partners and the deceased partner that in the even of the death of one of the partners of the firm should not stand dissolved. ..... on a reference, it was contended for the assessee that the firm of which r was a partner stood dissolved on the death of r in view of the provisions of section 42(c) of the indian partnership act, that a completely new partnership came into being on june 9, 1966, and, therefore, it was a case of succession of one firm by another to which section 188 of the income-tax act, 1961, was applicable, and that the provisions of section 187(2) were wrongly applied by the tax authorities. ..... according to the learned judges of the allahabad high court who constituted the majority of the full bench, section 187 of the income-tax act, 1961, clearly contemplates the reconstitution of a firm in accordance with sections 31 and 32 of the indian partnership act where a partner may be added or a partner may retire without breaking the continuity of the firm. ..... (4) the assessee-firm has not determined the rights and liabilities of the partners immediately on the death of one of the partners. .....
Tag this Judgment!Court : Gujarat
Reported in : AIR1986Guj162; (1985)2GLR1264
..... section 32 of the indian partnership act, 1932 has to be noticed in this connection. ..... 32(3) of the indian partnership act is not a condition precedent for exonerating the retiring partner from his liability regarding transactions undertaken by the remaining partners after the retirement of outgoing partner and that if it is shown that the plaintiff society had individual notice of such fact, it cannot fasten the liability for overpayment made by the plaintiff society to defendant no ..... to such third parties about retirement of the concerned partner, the retiring partner can escape from his liability:(2) but if individual notice is not given to the concerned third party about retirement of such partner and even public notice is not given, then the retiring partner cannot escape from his liability as a partner for the acts of commission or omission done by the remaining partners after his retirement provided they would have been acts of the firm if done before retirement;(3) in a case in ..... which in the absence of a public notice about retirement when individual notice about his retirement is given, by the retiring partner to the third party, the retiring .....
Tag this Judgment!Court : Gujarat
Reported in : (1975)16GLR357
..... section 25 of the indian partnership act, 1932, provides that every partner is liable, jointly with all the other partners and also severally, for all acts of the firm done while he is a partner. ..... what section 25 provides is that the liability of a partnership firm constituted by two or more partners is joint or several liability of each all of the partners. ..... in the alternative, if a partner who was a partner of the partnership firm at the time when payment became due had ceased to be the partner subsequently, in accordance with the provisions of law, and had disowned his liability on account of that reason, the argument advanced by mr. ..... however, the liability of a partner must be determined in light of the provisions of section 25 of the indian partnership act to which i have referred earlier. ..... the privy council has not laid down in that decision that the liability of the partnership firm is not the joint and several liability of its partners. ..... it is, therefore, clear that the liability of a partnership firm is the joint and several liability of all its partners.9. ..... if, therefore, a partnership firm incurs any liability, it is the liability of all the partners.8. ..... since he did not comply with the demand of the telegraph department to pay up those arrears and committed default in discharging his liability, it was open to the telegraph department under rule 443 to disconnect his personal telephone line-being telephone no. .....
Tag this Judgment!Court : Gujarat
Reported in : (1968)0GLR78; [1962]44ITR41(Guj)
..... a case, the family as a unit does not become a partner but only such member of the family as in fact enters into a contractual relation with strangers and the partnership that is constituted would be a partnership governed by the provisions of the indian partnership act, 1932. ..... hindu law, when a managing member of a joint family enters into a partnership with strangers, the other members of the family do not ipso facto become partners in the business so as to clothe them with any rights and obligations of a partner as defined by the indian partnership act. ..... out of that we are making a partial partition of the property as hereinafter stated, particulars whereof are as follows : (a) in the partnership firm in the name of the amrit chemicals five annas share out of sixteen annas in the rupee including goodwill together with the benefit and liability in respect of the profit and loss relating to five annas share in a rupee of sixteen annas made by the said firm from january 1, 1955, of the value of ..... as being the proportionate profits coming to the share of the deceased up to august 22, 1950, and included the same in the assessment of the father under the provisions of section 16 (3) of the income-tax act on the ground that the same represented income of the minor child of the assessee which arose from the admission of that minor to the benefits of that partnership. ..... similarly, any liability under the said deed is to be borne and discharged by seth ashokbhai chimanbhai, party of the .....
Tag this Judgment!Court : Gujarat
Reported in : (1980)19CTR(Guj)130; [1981]132ITR159(Guj)
..... 59) of 120 itr); 'having regard to the above discussion, it seems to us clear that a partnership firm under the indian partnership act, 1932, is not a distinct legal entity apart from the partners constituting it and equally in law the firm as such has no separate rights of its own in the partnership assesses and when one talks of the firm's property or firm's assets all that is meant is property or assets in which all partners have a joint or common interest. ..... clause 9 makes an express declaration that the parties had not taken over, 'personally' any of the debts of the debts either in relation to the said speculation business or any of his other debts or liabilities and that as legal representatives they were liable to pay and discharge debts and liabilities of the deceased only out of and to the extent of any estate of the deceased, which might come into their hand as such. 14. ..... an analysis of the second part of the said proviso, which provided that 'where any person carrying on any business profession or vocation has been succeeded in such capacity by another person, otherwise than by inheritance nothing in this section shall be deemed to entitle any person other than the person incurring the loss to have it set off against his income profits or gains', was found to yield the following result (p. .....
Tag this Judgment!Court : Gujarat
Reported in : (1961)GLR555; [1961]43ITR8(Guj)
..... when we turn to the definition of partnership under section 4 of the indian partnership act, 1932, we find that partnership is defined as the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all and that persons who have entered into partnership with one another are called individually 'partners' and collectively 'a firm'. ..... under the provisions of section 2(6b) of the income-tax act, it is provide that the terms 'firm', 'partner' and 'partnership' have the same meanings respectively as in the indian partnership act, 1932, provide that the expression 'partner' would include any person who being a minor had been admitted to the benefits of partnership. ..... by rule 2 of the indian income-tax rules, 1922, it is provided that any firm constituted under an instrument of partnership specifying the individual shares of the partners may, under the provisions of section 26a of the indian income-tax act, 1922, register with the income-tax officer, the particulars contained in the said instrument on application made in this behalf. ..... at the instance of the commissioner of income-tax, this reference has been made, the question of law raised being : 'whether a partnership in which one partner is the benamidar of another partner could be registered under section 26a of the indian income-tax act ?' 3. .....
Tag this Judgment!Court : Gujarat
Reported in : [1962]44ITR56(Guj)
..... section 2 (6b) of the indian income-tax act, 1922, provides that the expression 'partnership' is to have the same meaning as in the indian partnership act, 1932 ..... the parties to the deed of partnership as set out in the deed are the following : 'uttamchand watoomal thanwani, dayaldas bhikchand mulchandani, dattaram lalchand keswani, and bawa amardas gajrimal all of them being partners in the business carried on in the firm name and style of 'shri ganesh ice factory' of the first part, muljibhai nathabhai patel and chandulal chunilal desai, both of them being partners in the business carried on in the firm name ..... baroda of the third part, kadarbhoy mahomedally sodagar, the son and administrator of the estate of the late mahomedally jafferji sodagar, carrying on business in the firm name and style of 'sodagar ice factory' at baroda of the fourth part, ambalal shankarbhai patel, one of the partners carrying on business in the firm name and style of 'messrs. ..... the deed of partnership showing the shares of the partners in the profit and loss of the partnership. ..... and style of 'minerva ice and refrigeration company' of baroda of the second part, ghanshyamdas naroomal, one of the partners carrying on business in the firm .....
Tag this Judgment!Court : Gujarat
Reported in : (1994)1GLR209
..... this stage, it would be relevant to refer the provisions of section 4 of the indian partnership act, 1932, which defines partnership, partner and firm. ..... section 4 of the indian partnership act reads as under:'partnership', is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting ..... while appreciating and interpreting the provisions of section 4 of the partnership act, it was held that, agreement to share the profits of a business is an essential element of a partnership and it is open to partners to agree to share the profits in any way ..... of the evidence, the trial court decreed the suit, holding that no partnership subsisted between the parties and that section 69 of the partnership act was not applicable to the case.23. ..... of the tenant and runs counter to the proposition that the absence of specific share in the profit and not the fixed amount in the share would be an essential ingredient for consideration of the genuine partnership under section 4 of the partnership act.27. ..... it was also further pleaded that he was doing partnership business with the deceased-tenant and, thereafter, a new partnership was constituted among lilavatiben, himself and one shantilal chimanlal, and the business was run in the name of vrujial shantilal and company, which continued upto 29-10-1964 until shantilal ..... the tenant incurs liability to eviction under this clause when unlawful sub-letting is established even on or before the date of .....
Tag this Judgment!Court : Gujarat
Reported in : (1988)1GLR11; [1988]171ITR549(Guj)
..... it may be noted that there is no provision in the indian partnership act, 1932, which makes it obligatory on the part of a firm to get itself registered with ..... sections 58, 59, 63 and 69 of the indian partnership act are the relevant provisions which are required ..... similarly, even under section 69 of the partnership act, which deals with the effect of non-registration, the registration of a firm subsequent to the filing of a suit does ..... after the receipt of the application, when the registrar is satisfied that the provisions of section 58 of the act have been duly complied with, he shall record an entry of the statement in the register called 'register of firms' and ..... andhra pradesh high court held that the statute itself does not provide for any limitation with reference to a particular matter and the delegation of power to make rules is conferred by a section of the act which does not expressly or impliedly relate to the power to prescribe time. ..... , section 63(2) of the act provides for recording of changes on account of a minor attaining majority and electing to become a partner ..... section 63 of the act provides that any incoming, continuing or outgoing partner may give notice of the change to ..... is nothing in the section enjoining a duty upon the firm or its partners to submit the application ..... the section which is designed to give relief to the partners of the firm as well as the public should be construed ..... this section puts a firm and also its partners under certain disabilities, if the .....
Tag this Judgment!Court : Gujarat
Reported in : (1982)2GLR305
..... section 42(b) of the indian partnership act, 1932 head note (b) says:dissolution of the firm - determination of date - firm constituted to carry out a specific undertaking to supply certain quantity or grain - contract prematurely terminating after supply of part of goods - suit for recovering assets of partnership by one partner - limitation - undertaking or adventure cannot be said to be completed partnership will not be deemed to be dissolved on the date of termination of the contract - it is dissolved on the final realisation of assets limitation runs from the date of final realisation of assets - section ..... would be dissolution of a partnership, the learned advocate shri shah referred to section 42 of the indian partnership act, 1932 which runs as under:42 ..... under section 42(b) of the indian partnership act was ..... dissolution on the happening of certain contingencies-subject to contract between the partners firm is dissolved:(a) if constituted for a fixed term, by the expiry of that term;(b) if constituted to carry out one or more adventures or undertakings, by the completion thereof;(c) by the death of a partner; and(d) by the adjudication of a partner as an insolvent.on the basis of section 42 it was submitted that this adventure or undertaking was completed on 24-7-1963 and, therefore, the suit ..... if one refers to the indian contract act and in particular section 2 an agreement enforceable by law is a contract and every promise and every set of promises, forming the consideration .....
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