JASWINDER SINGH BHATIA Vs. NIRMALJEET KAUR BHATIA

JUDGEMENT

(1.) THIS petition under Section 9 of the Arbitration and Conciliation Act, 1996 ( "the Act ", for short) has been made by the petitioner praying inter alia that respondent should be restrained from carrying on her new venture Bhatia Sales Company.

(2.) IT is submitted by the petitioner that that the petitioner and respondent had a partnership agreement dated 30th June 2003 for running a partnership firm in the name of Bhatia Sales Corporation at B-9, Community Centre, Naraina. This firm had been carrying on the business of paints, hardware, sanitary goods, welding materials and mill stores etc. The partnership deed provided that only by mutual consent, a partner could start a new business or open a new branch or change the name and nature of business. It is submitted that earlier respondent 's husband was the partner in the partnership and after death of her husband, she became the partner. The shop No.B-9 where the business was being run was under the tenancy of the partnership firm. The petitioner had come to know from some reliable sources that sons of respondent namely Shri Tajinder Singh Bhatia and Shri Tarandeep Singh Bhatia purchased the said property from the owner and they, in collusion with the respondent floated another firm in the name and style of "Bhatia Sales Company ' with an intention of dispossessing the petitioner from the property and finish the business of partnership firm namely "Bhatia Sales Corporation ". The trade being carried by Bhatia Sales Company was similar as being carried out by Bhatia Sales Corporation.

(3.) IN response to this petition, it is submitted by respondent that petitioner has concealed material facts from the Court. The petitioner and her husband were earlier in joint business. However, on 22nd March 1993, by mutual consent, the parties had separated from the business and the petitioner started running business of paints, hardware, sanitary goods separately at plot No.9, Shop No.2 Community Centre, Naraina Vihar, in the name of New Delhi Paints whereas respondent 's husband started his business in the name and style of Bhatia Sales Corporation. Since the tenancy of the premises was in the name of the partnership firm, both parties continued to sign the partnership deed so that the case of sub tenancy was not made out by the landlord. The husband of respondent expired on 24th June 2003 and thereafter parties again renewed the papers of the partnership deed only for this purpose. The sons or the husband, however, negotiated with the owner of shop No.B-9, Shopping Centre for purchase of the property and they purchased the shop from the owner. After her sons purchased the shop from the owner, they constituted a separate partnership firm in the name of "Bhatia Sales Company ' and started their own business at the shop purchased by them. The respondent placed on record the partnership deed between her two sons, the title deed of the shop in the name of her sons and the deed/ family settlement showing separation of business.