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The trial court in the instant appeal held that there was subletting | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It accordingly decreed the suit for possession instituted by the landlord | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The suit,inter alia,was filed by the landlord on the ground of subletting | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There was an appeal before the Court of Small Causes,Bombay and by judgment and order delivered by the Court of Small Causes,Bombay on 18th of August,1977,it was held that the learned Trial Judge had erred in passing a decree for possession on the ground of subletting,change of user and breach of terms of tenancy | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
In the premises,the appeal was allowed | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It may be mentioned that the respondent No.1 is the landlord of two premises which were quite adjacent as mentioned before | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The respondent-plaintiff had alleged in both the suits that the appellant was his tenant in the suit premises which were leased to him for conducting his business in the name of Ahmedabad Fine | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Weaving Works,and according to the terms of tenancy suit,the suit premises were leased for manufacturing cloth in the name of Ahmedabad Fine & Weaving Works | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The landlord had alleged that the appellant had closed that business and he was not using the premises in question for the purpose for which it was let to him | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was further alleged by the landlord that the appellant had unlawfully sublet the major part of the premises in question of both the suits to defendant Nos.2 to 5 in the original suit and these defendants were running business in partnership for manufacturing of neon signs in the name of Bharat Neon Signs | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was further alleged that the appellant had also unlawfully sublet one room of the suit premises to defendant No.6 in Suit No.553 of 1969 who was residing in that room | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
For the purpose of the Suit No.553 of 1969 with which the appeal is concerned,it is relevant to state that the appellant had raised the contention that Ahmedabad Fine & Weaving Works was not the tenant of the suit premies but the suit premises was tenanted by the father of the appellant Girdharlal Chimalal in 1938 and he was the original tenant of the premises and appellant subsequently joined the business of his father as a partner and the name of the partnership firm was Ahmedabad Fine Weaving Works | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
He has stated further that the suit premises were to be used for business and he could use it for any business and he joined in partnership with Defendants Nos.2 to 5 somewhere in 1961 to prepare neon signs and the defendants Nos.2 to 5 were his partners and doing business in the suit premises | Argument | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
He contended further that the suit premises was with him and the defendants Nos.2 to 5 had not acquired any tenancy rights in the suit premises | Argument | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It is further stated that he had filed a civil suit to dissolve the partnership and to take account and his suit was pending in City Civil Court | Argument | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It may be mentioned that by the time the revision petition came to be decided by the High Court the suit had been decreed in his favour directing a dissolution of the said partnership and directing taking of the accounts | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There was an appeal filed from that decree and that appeal was also dismissed and disposed of affirming the decree for the dissolution of the partnership,inter se between the parties being the partners of the said firm | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
These facts were accepted that there was a partnership | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
As mentioned hereinbefore the learned trial Judge consolidated both the suits and in the instant suit being No.553 of 1969 with which this appeal is concerned,it was held by the learned trial Judge that there was unlawful subletting | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There was a decree for possession | Ruling by Lower Court | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
This was set aside in appeal | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The Appellate Court so far as the material for the present appeal is concerned held that there was no subletting and there was only carrying on of the business in partnership with defendants Nos.2 to 5 in the name of Bharat Neon Signs | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Therefore,the first question that had to be decided by the Appellate Court being the Court of Small Causes,Bombay and if a revision lay before the High court was whether there was any genuine partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The partnership deeds were there,the appellant was not to share in the losses | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The Court of Small Causes came to the conclusion on an analysis of the evidence before it and the terms of the three partnership deeds referred to hereinbefore that there was a genuine partnership in law which was acted upon | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The High Court in revision reversed that finding | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The first question therefore,is,whether the High Court could do so in the facts of this case and secondly whether the High Court was right in so doing | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Whether there was a partnership or not may in certain cases be a mixed question of law and fact,in the sense that whether the ingredients of partnership as embodied in the law of partnership were there in.a particular case or not must be judged in the light of the principles applicable to partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The first question,therefore,is what is a partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
That has to be found in section 4 of the Indian Partnership Act,1932,it says "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 for all" (Emphasis supplied | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Section 6 of the said Act reiterates that in determining whether a group of persons is or is not a firm,or whether a person is or is not a partner in a firm,regard shall be had to the real relation between the parties,as shown by all relevant facts taken together | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The following important elements must be there in order to establish partnership,(1) there must be an agreement entered into by all parties concerned,(2 | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
the agreement must be to share profits of business; and (3) the business must be carried on by all or any of the persons concerned acting for all | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The partnership deeds were there entitling the petitioner to share in the partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It is true that in the partnership deeds the bank accounts were not to be operated by the appellant,and further that irrespective of the profit | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
the clause of the partnership deed provided that there should be a fixed percentage of profit to be given to the partner-appellant No.1.The appellant was not to share the losses | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
But there is nothing illegal about it | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The appellant was to bring his asset being the tenancy of the premises in question for the user of the partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
All these tests were borne in mind by the Court of Small Causes,Bombay in the appeal from the decision of the learned trial Judge | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The Appellate Court had considered the partnership deeds | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
One point was emphasised by Mr | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta,learned counsel appearing for the respondents,that the original first partnership deed did not mention the appellant or his father as a partner | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was in the second partnership deed that the appellant and his father joined the firm | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The firm started as emphasised by Mr | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta on 4th of October,1960 and it was only on the 24th of October,1960 the second partnership deed was -executed | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Therefore,it was emphasised that there was a gap of time when there was user by the partnership firm of the premises in question when the appellant was not a member of the firm | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was emphasised that this aspect was not considered by the Court of Small Causes and the High Court,therefore,was justified in interfering with the findings of the Court of Small Causes | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
We are unable to agree | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
These deeds were there,the partners were crossexamined,there was no specific evidence as to from what date the firm started functioning from the particular premises in question | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Secondly,it was emphasised by Mr | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta that the partnership deed was a camouflage | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It is evident from the sales-tax registration and other registration certificates and licences under the Shops and Establishments Act that the partnership was registered in the name of the appellant and the appellant was also indicated as a partner | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was so in the Income Tax returns and assessments | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Therefore,it was submitted that the Court of Small Causes committed an error of law resulting in miscarriage of justice | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was submitted by Mr | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta that once it was accepted that the partnership deed was a mere camouflage the other subsequent acts and conducts were merely ancillary and were put in a formal way | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
But the question is from the three deeds itself which were examined in detail by the Court of Small Causes and which were re-examined by the High Court could it be said unequivocally that there was no partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The deeds gave the appellant the right to share the profits and made him agent for certain limited purposes of the firm and there was evidence that the partnership deeds were acted upon | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There was evidence of suit of dissolution of the partnership where none of the partners took the plea that it was a false or a fictitious document | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Though the decree in the dissolution suit was not binding in these proceedings,inter se between the parties as partners it is a piece of evidence which cannot be wholly ignored | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
All these factors were present before the Court of Small Causes | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
These were reappraised by the High Court | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
that in the partnership deed which is not necessary to recite the terms,the petitioner was completely excluded in operating the bank accounts etc | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There is nothing inherently illegal or improbable making a provision of such a type | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
In the eye of law,such a clause is really non-sequitur or neutral proving neither the existence nor non-existence of a genuine firm | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The first partnership deed which is Exhibit-114 is dated 13th October,1960.It recited that the partnership firm should be presently started at Ahmedabad and the same should later be started in another city | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
In this the appellant was not a partner.Exhibit-69 at page 136 of Volume-II of the paper-book is a partnership deed wherein Girdharlal the father of the Appellant No.1 and the appellant No.1 joined as partners | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It recited that the partnership started from 4th of October,1960 at Ahmedabad | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was registered in the name of 7th and 8th partners,Girdharlal who was the appellant and his father | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was recited that the work of the partnership would be done by the parties of the fourth,fifth,sixth,seventh and eighth as per advice and instructions of the first,second and third | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
All the work had been done by some of the partners of which appellants were not parties and that they had to do the said work as per instructions of the other partners | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Clauses 6 and 7 of the said partnership deed recited inter alia as follows: "6.The year of accounts of our partnership shall be Aso Vadi 30th day i.e | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Diwali and the first account year is decided to be the Aso Vadi 30th day of Samvat Year 2017.While settling accounts at the close of the year,33% amount from the sum which may remain as net profit after deducting all expenditures,viz interest,discount,rent of the shop,rent of the godown,insurance,brokerage,travelling,telegrams,postage,salaries of employees,etc.shall be carried to Reserve Fund and thereafter,in the sum that remains as net profit,the shares of us the partners have been fixed as under: 7.While settling accounts at the close of the year,if the sum less than Rs.1500 falls to the 0-03 shares of the partners of the seventh and eighth parts,the amount falling short has to be debited towards the head of expenditure and Rs.1500 (fifteen hundred only) have to be paid in full to each of them two,and in those circumstances or if there be loss,the parties of the seventh or eighth parts have not been held liable therefore; and in the year or' losses,it has been decided to pay Rs.1500 (fifteen hundred only) to each of them,after debiting the same towards the head of expenditure and in the year of losses nothing has to be carried to the 'Reserve Fund' and the loss has to be borne by us to parties first to sixth parts in the following proportion: 8.Clause 8 empowered the operating of the bank accounts by partners other than the appellant and his father | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
We find intrinsically nothing improbable | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It is embodied in the deeds the functioning of the partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The third partnership which is dated 22nd of September,1961 also indicates as parties of sixth part the name of the appellant | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The relevant portion of the partnership deed reads as follows: "To wit,the parties of the first to sixth parts out of us,deceased Khristi Girdharbhai Chimanlal and Shah Virchand Keshavji had jointly started the business of manufacturing and selling Neon Signs Tubes,in partnership in Ahmedabad from 4.10.1960,in the name and style of Bharat Neon Signs | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
However,on account of the death of Khristi Girdharbhai Chimanlal on 1.2.61 and other reasons,the said partnership was dissolved from 8.9.61.Thereafter,we the parties from the first to seventh part have,after purchasing at its cost price,all the debts and dues,goods,stock etc.,together with goodwill of the dissolved partnership,started manufacturing and selling of Neon Signs Tubes in partnership from 9.9.61.We,the parties of all the seven parts execute the deed of the said partnership to-day | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
i.e.22.9.61.The terms and conditions | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
thereof are as under | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
1) The entire work of our partnership has to be carried out in the name of "Bharat Neon Signs | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
2) The work to be carried out by our partnership is of manufacturing and selling Neon Signs Tubes and of obtaining orders therefore | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
3) Whatever moneys that may be required to be invested in our partnership,are to be invested by the parties of the first,second,third,fourth and seventh parts out of us and the interest at the rate of 71/2 per cent per annum has to be paid for the moneys that may be invested in this partnership | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
We are of the opinion that these were evidence that these terms were acted upon | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
There was nothing intrinsically wrong in law in constituting a partnership in the manner it was done | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
It was contended by Mr | Argument | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Mehta that there was no agency; reading the partnership deeds as we have read that conclusion does not emanate from position appearing debiting the fixed amount payable to the appellant in the expenses account which also is not inconsistent with partnership | Argument | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
This is also not inconsistent with treating the rent of the firm in the context of the total expenditure of the firm | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
In any event all these factors were considered by the Court of Small Causes bearing in mind the correct legal principles | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The High Court on a reappraisal of these very evidence came to the conclusion that the partnerships were camouflages and were not acted upon and in fact and in reality the partnership firm was a sub-tenant of the appellant herein | Facts | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The question is,can the High Court do so in law | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The power of the High Court to revise the order is contained in section 29(2) of the Bombay Rent Act as applicable at the relevant time to Gujarat,The said provision reads as follows: "29(2 | Statute | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
no further appeal shall lie against any decision in appeal under sub-section (1) but the High Court may,for the purpose of satisfying itself that any such decision in appeal was according to law,call for the case in which such decision was taken and pass such order with respect thereto as it thinks fit | Statute | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The ambit and power of revision generally and in particular with respect to the provisions with which we are concerned have from time to time come up for consideration by this Court | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
This Court in Hari Shankar v | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
Rao Girdhari Lal Chowdhury,[1962] 1 Suppl | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
SCR.933 1961 Indlaw SC 157 had to consider section 35(1) of the Delhi & Ajmer Rent Corntrol Act,1952 | Ratio of the decision | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The said section reads as follows:- "35(1 | Statute | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |
The High Court may,at any time,call for the record of any case under this Act for the purpose of satisfying itself that a decision made therein is according to law and may pass such order in relation thereto as it thinks fit | Statute | Analyze the sentence and predict in which semantic role does this come under in Indian legal context |