BHARAT RASIKLAL ASHRA Vs. GAUTAM RASIKLAL ASHRA

JUDGEMENT

(1.) Leave granted. Heard.

(2.) The Appellant and first Respondent are brothers. A deed of partnership dated 12.6.1988 was entered among Mr. Kanji Pitamber Ashra and his two grandsons (Appellant and first Respondent) to carry on the business under the name and style of M/s. Kanji Pitamber & Company, their shares being 40%, 30% and 30% respectively. Clause 10 provided that death of any partner shall not dissolve the partnership firm as to the surviving partners. Clause 11 of the said agreement provided that all disputes between the partners regarding the rights and liabilities of partners or in regard to the transactions or accounts of the partnership shall be referred to arbitration.

(3.) The Appellant is permanent resident of United States of America. Kanji Pitamber Ashra died on 4.9.1991. According to Appellant, the Appellant and first Respondent continued the business of M/s. Kanji Pitamber & Company, (second Respondent firm), by increasing their profit and loss ratio from 30% to 50% each. The Appellant alleges that in or about 2008 he came to know that the first Respondent was claiming that fresh partnership deeds were executed by the parties on 6.9.1991 and 19.5.2000. The Appellant claims that he did not execute any such deeds. He claims that the firms bankers by their letter dated 7.7.2008 have confirmed that the only partnership deed of the firm held by them was the deed dated 12.6.1988. He also claims that the first Respondent, as partner of the second Respondent firm had sent a letter dated 1.7.2008 to the Foreign Exchange Brokers Association of India (of which the second Respondent is a member) confirming that the Appellant and first Respondent were the partners as per the deed dated 12.6.1988 and there was No. change in the said partnership deed.