LAWS(MAD)-2006-7-305

M AMARNATH PAI Vs. PREMIER SERVICE STATION

Decided On July 31, 2006
M. Amarnath Pai and Another Appellant
V/S
Premier Service Station, rep. by its Senior Partner R. Harindranath Pai and Others Respondents

JUDGEMENT

(1.) THIS Application was filed under Order 14Rule 8 of O.S. Rules read with Section 8(1) and (2) of Arbitration and Conciliation Act, 1996, praying to dismiss this suit C. S.No. 847 of 2005 as not maintainable and to direct the plaintiffs to invoke the arbitration clause contained in the instrument of partnership dated 1.4.1997 pertaining to the first defendant firm.

(2.) THE respondents/plaintiffs are the sons of one Manjunath Pai whose brothers are the defendants 2 to 4 in the suit. THE 5th and 7th defendants are the respective sons of 2nd and 3rd defendants. 6th and 8th defendants are the respective wives of 5th and 7th defendants. Originally Manjunath Pai and his brothers constituted a partnership firm on 1.4.1972 as amended on 1.4.1976 and 1.4.1996. In the year 1996 Manjunath Pai expired and his sons the respondents/plaintiffs were inducted into partnership firm. Since then there was no amicable relationship between the partners, especially with the respondents/plaintiffs. THEre was a modified partnership dated 1.4.1997. Even though the respondents/plaintiffs contend that they signed the said partnership agreement dated 1.4.1997 without specifically aware, of the contents thereof, it is stated at the end of para 7 of the plaint that the respondents/plaintiffs are proceeding upon the basis that rights of parties are governed by latest amended partnership dated 1.4.1997.

(3.) SIMILAR to the clause of dissolution as found in Clause 11 of the partnership deed herein, there was also a clause of the partnership agreement mentioned in that case, which is as follows: