PARKASH CHAND Vs. SOHAN LAL

JUDGEMENT

(1.) This second appeal filed by Parkash Chand defendant is directed against the Judgment of Learned Subordinate Judge, Ludhiana, whereby he accepted the appeal of Sohan Lal plaintiff respondent, reversed the finding of the trial Court on issue No. 3 and remanded the case for decision on other issues.

(2.) The brief facts of the case are that Sohan Lal plaintiff and Parkash Chand defendant entered into partnership for carrying on hosiery business under the name and style of Mittra Hosiery Mills, Ludhiana. In 1947-48 there arose dispute between the parties and two partners at first referred the dispute to arbitration of three persons. Those arbitrators, however, failed to settle the dispute. On 7th of May, 1948 agreement, copy of which is Exhibit P.1. was executed by Sohan Lal and Parkash Chand appointing Basheshar Nath defendant No. 2 as the sole arbitrator for setting the dispute about dissolution of partition and rendition of accounts. It was also mentioned in the agreement that the three persons, who had previously appointed arbitrators, had declined to proceed in the matter of arbitration. Subsequently, it is alleged, a letter, copy of which is Exhibit P. 2, was addressed to the arbitrator on 3rd of July, 1948 by Kishan Chand, father of Sohan Lal, and Sadhu Ram, father of Parkash Chand, to the effect that they too were partners in the aforesaid business and that the arbitrator should settle the dispute. This letter also purported to be signed by Sohan Lal, and Parkash Chand. Basheshar Nath gave his award dated 18th of November, 1948, copy of which is Exhibit D. 2. It would appear that with respect to the reference of the matter to Basheshar Nath and the award given by him, a number of applications were filed, and the matter went up to the Supreme Court. Ultimately, on 31st of July, 1959 Shri Adish Kumar, Subordinate Judge 1st Class, Ludhiana, set aside the award and dismissed the application under Section 14 of the Arbitration Act which had been filed by Basheshar Nath for making the award the rule of the Court. On 17th November, 1959 Sohan Lal and his father Kishan Chand brought the present suit for dissolution of the above partnership and for rendition of accounts against Parkash Chand and his father Sadhu Ram. The suit was stated to be within time because the matter in dispute was before the arbitrators from 7th of May, 1948 till 31st of July, 1959.

(3.) The suit was resisted by Parkash Chand and his father Sadhu Ram.