( 1 ) THE facts in this case are shortly as follows. The appellant, Ghasiram Agarwalla, was the appointed retailer of Fair Price Shop No. 1766, situated at 45/9, Beliaghata Main Road, Calcutta, in terms of agreement Ext. 4/8, copy whereof is set out at pages 4 to 6 of Part II of the paper book. The article of agreement is between the Governor of the State of West Bengal and the said Ghasiram Agarwalla, dated 8th October, 1956, and recites that the Government of West Bengal In the Department of Food. Relief and Supplies (Food Branch), had agreed to appoint the said Ghasiram Agarwalla and the said Ghasiram Agarwalla had agreed to carry on business, as a retail dealer of wheat under the Government's scheme to distribute wheat to consumers from fair price shops In the order of reference, the learned Judges have mistakenly stated that fair price shops retailed wheat of rice to the holders of ration cards at a fixed price Shops which retail rations are called ration shops. Fair price shops were introduced prior to the introduction of rationing or in areas where statutory rationing had not yet been introduced The rice or wheat, as the case may be which is to be distributed through fair price shops, originally belongs to Government. It is obvious, therefore, that the terms of distribution or the legal incidences of it have necessarily to be governed by the terms of the agreement between the parties, namely Ext. 4/8. The first thing to be noticed is that the agreement is entitled--Agreement for distribution of wheat through Fair Price Shops", and the scheme mentioned in the agreement is for "distribution of wheat to the consumers. " The main question to be decided in this case is as to whether under the terms of the agreement, the transaction that took place between the Government and the retailer was a transaction of sale and purchase or a mere agency for distribution From that point of view, the terms of the agreement are all important. In fact, the matter must be decided upon an interpretation of the articles of agreement and not upon any abstract provision of law. The main provisions of the agreement which are relevant for our purpose are set out below:--"3 The retailer shall obtain his: supply of wheat on indents placed by him with the Officer-in-Charge of the Zonal Office or the Zonal Officer as the case may be, having jurisdiction in the respective zone. The Officer-in-Charge of the Zonal Office, or the Zonal Officer, shall sanction such quantity of wheat to each retailer on presentation of his indent, as is considered necessary. 4 The price of wheat to be deposited by the retailer will be Rs. 14 (fourteen) per maund inclusive of the price of containers and the price at which the retailer will sell to consumers will be Rs. 15 (fifteen) per maund, that is the retail price will be as 6 (six annas) per seer. 5. The retailer shall deposit the money for the indented quantity of wheat with the State Bank of India who will issue a demand draft or with the Reserve Bank of India and obtain appropriate challan, therefor. The heads of accounts for such deposit will be "regional Director of Food, Government of India Calcutta. 6. The retailer shall take delivery of wheat from the appropriate godown of the Government of India on production of the said indent together with the said demand draft or Reserve Bank Challan on a particular day fixed in this behalf. 7. The retailer immediately on receipt of the quantity of wheat lifted by him from the Government godown shall enter the same in appropriate stock registers to be maintained by him in this behalf. 8. The retailer shall sell wheat to consumers of the respective zone at the rate of as 6 (six annas) per seer. 9 On demand and offer of price by the customers, the retailer shall not refuse to supply wheat until the stock with him is completely exhausted. 10. The retailer shall issue cash memo for" sale noting therein the name and address of the customer. 11. The retailer shall als