HARI SHANKAR BHARGAVA Vs. MOHAN DEVI

JUDGEMENT

(1.) THIS case raises an interesting question of law regarding the registration of an arbitration award made with the intervention of the court on which there is scant authority in our law books in recent years.

(2.) ON August 9, 1958, a partnership business was started for colonising and sale of plots. Dalip Singh, Raghbir Singh, Net Ram, Hari Shankar Bhargava, Mattu Mal Gupta and Moti Ram were the original partners. Dalip Singh separated from the partnership. Remaining partners continued the partnership business and a new deed of partnership was executed on October 9, 1958. This partnership business was known and styled as Shankar Housing Corporation.

(3.) THE second reason advanced by Mr. Bhatia is that this operative portion of the award at best amounts to an assignment of interest of Net Ram in favour of the partnership. He relies on Narayanappa v. Bhaskara Krishnappa AIR 1965 SC 1300, (I) in that case it was held that a document recording the fact of refinquishment of interest by a partner in partnership assets by way of adjustment was not compulsorily registrable under Section 17(1) of the Registration Act. This is true that the interest of a partner in the partnership assets has been held to be movable property and a document evidencing . relinquishment of that interest docs not require registration. But here it cannot be said that Net Rani was relinquishing his interest in the land. THE land was an asset of the partnership. THE other partners wanted him to transfer the entire land to the partnership because they had already paid Rs. 15085 to Net Ram as price of the land. THE dispute was regarding the ownership of a partnership asset. I do not agree that this portion of the award amounts to an assignment and, therefore, did not require registration.