RADHA MOHAN Vs. RADHA FANCY STORES

JUDGEMENT

(1.) The plaintiffs have brought a suit for recovery of Rs. l,12,800.00 along with pendente lite and future interest @ l2/o p.a.

(2.) The plaintiffs and defendants Nos. 2 and 3 were partners and were carrying on business under the name and style of M/s. Radha Fancy Store, defendant No. I in shop Nos. 67-68, outside Moti Bazar, Chandni Chowk, Delhi. The plaintiffs retired from that partnership in consideration of payment of a sum of Rs. l,00,000.00 in the following manner :- Rs. 40.000.00 by cheque dated October 10, 1980 in favour of plaintiff No. 1. Rs. 10,000.00 by cheque dated October 10, 1980 in favour of plaintiff No. 2. Rs. 50,COO.00 to be paid to plaintiff No. I after one year of October 10, 1980. Rs. 50,000.00 to be paid to plaintiff No. 2 within one year of October 10, 1980.

(3.) In respect of the aforesaid transaction, a deed of release dated October 10, 1980 was executed between the parties. In that deed, there was an incorporation of promise of the defendant Nos. 2 and 3 to pay the balance amount of Rs. 1,00,000.00 within one year there after. Further, defendant Nos. 2 and 3 also executed one promissory note and receipt for Rs. 50.000.00 in favour of plaintiff No. I and another promissory note and receipt for the same amount in favour of plaintiff No. 2.