MOHD. LAIQUIDDIN AND ANR. versus KAMALA DEVI MISRA (DEAD) BY LRS. AND ORS.

MOHD. LAIQUIDDIN AND ANR. versus KAMALA DEVI MISRA (DEAD) BY LRS. AND ORS.

Where a partnership firm consists of only two partners, on the death of one partner, the firm stands dissolved notwithstanding contrary provision in the partnership deed; the legal representatives of the deceased partner have no obligation to continue the partnership and distribution of property must follow the intention of the parties and partnership deed, allowing each to take respective properties with the respondent entitled to movables and recover value of embedded structures from the appellants.

Parties
Appellant: Mohd. Laiquiddin and Anr.; Respondent: Kamala Devi Misra (Dead) by LRs. and Ors.
Jurisdiction
India
Judgment Date
05 January 2010
Procedural Posture
Civil Appeal / Supreme Court Judgment
Outcome
Appeal dismissed
Legal Topics
Dissolution of Partnership, Distribution of Partnership Property, Raising New Legal Pleas in Second Appeal

Case Brief

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Parties

Mohd. Laiquiddin and Anr.

Appellant

Kamala Devi Misra (Dead) by LRs. and Ors.

Respondent

Procedural Posture

Civil Appeal / Supreme Court Judgment

  1. 1 Whether the High Court erred in permitting respondents to raise a question for the first time in second appeal
  2. 2 Whether the High Court erred in holding that the partnership firm was dissolved on account of death of a partner
  3. 3 Whether the High Court erred in permitting respondents to remove movables from the cinema theatre

Ratio Decidendi

Where a partnership firm consists of only two partners, on the death of one partner, the firm stands dissolved notwithstanding contrary provision in the partnership deed; the legal representatives of the deceased partner have no obligation to continue the partnership and distribution of property must follow the intention of the parties and partnership deed, allowing each to take respective properties with the respondent entitled to movables and recover value of embedded structures from the appellants.

Court Disposition

Appeal dismissed

Orders

  • Appellants entitled to exclusive possession of land
  • Respondents entitled to remove movables from cinema theatre