FACTS :- In 1946 one Krishnarao (plaintiff) and Shankar (defendant) entered into a partnership and carried on business in the name of Cipra Bakelite Co. The business of the firm was to manufacture and sell bakelite goods, and particularly bakelite bottle caps and bakelite containers and was carried on at Rautwadi, in Mogul Lane, Mahim. The defendant was a working partner in that firm. Or 27-4-1948, the partnership was dissolved by mutual con-sent and a deed of dissolution was executed by the parties. In accordance with one of the terms of that deed of dissolution the defendant was paid Rs. 16,000 in full satisfaction of his share and interest in that partnership and the capital, effects and goodwill of the dissolved firm. Clause 4 of the deed of dissolution was as follows :

"The outgoing partner (defendant) shall not for a period of three years either directly or indirectly and either as principal, clerk or agent, carry on or be concerned or engaged in similar business of manufacturing bakelite bottle caps and two types of containers or boxes bearing Nos. 9 and 10 at present manufactured by Cipra Bakelite Company within the City of Bombay or accept as clients or customers i