Partnership agreement and obligations, assignment of debt, jurisdiction, appearance on behalf of the firm, negligence in prosecuting the case

JUDGMENT

Williams, J. - This is an appeal against a judgment of Buckland J. in a suit to recover a sum of Rs. 22,023 odd alleged to be due upon an adjustment of accounts and in respect of subsequent dealings and transactions. There were two firms named respectively Rekhab-chand Ghisulal and Ganeshilal Lachminarain. The firm of Rekhabchand Ghisulal carried on business in Calcutta as commission agents and consisted of four partners, viz. Ghisulal Chabra, Keshirmull Chabra, Ghogalal Keshriwal and Sunderlal Chabra who was a minor. The firm of Ganeshilal Lachminarain carried on business at Dhullian and consisted of Lachminarain, Badulal and Begraj. The fact that Badulal and Begraj were partners was during the proceedings denied by them and has been to some extent in issue in this appeal. But I am satisfied at any rate, that Badulal was a partner. On 2nd March 1924, these two firms agreed to carry on business together as a firm in the name of Ghisulal Ganeshilal, that is to say, the new firm was to consist of the six or seven persons whom I have mentioned as being members of the other two firms. The agreement was in writing and was in the following terms:

Sri Parameswar.

The deep blessings of Ganesh Lall Lachmi Narayan to Bhai (brother) Rekhabehandji, Ghisu Lall, Chabra of Baloochar, which please accept. Further we have opened a shop in Duliyana wherein the shares (will be) as follows :-We shall give annas 7 (share) to you, Rekhabchand Ghisulal. Annas 9 (share) will belong to ourselves, Ganeshlal Lachminarayan. In words, annas seven will be yours, annas nine ours. Further, goods bought (for the shop) will be ordered from your gaddi in Calcutta.

The Calcutta expenses (will be) as follows :- Commission 0-8-0, brokerage 0-4-0, bale (baling?) expenses will be charged according to rule. And the 'muddat' (period) for cloth will be deducted on back of the consignment rate at 1-8-0 in words, one rupee and eight annas per cent. Further, deduction will be made at 2-13-0 in words, two rupees and thirteen annas, in respect of 'Ganzies' (under vests) and warm (woollen) cloth and all kinds of warm (woollen) goods ordered and interest on money will be charged at annas 10 in words, ten annas. And commission on silver and gold will be charged at annas 2 in words, two annas per cent. And if there be any hundi transactions, 'hundawan' (commission on hundi transactions) will be charged at 0-2-0 per cent. on hundis drawn by us from here.

As above. Further, the fooding charges of the person staying in the shop, as well as those of (his) women and children (family) will be entered in the (account of the) shop. And if the proprietor (any of the proprietors) stays in the shop, Rs. 401, in words, four hundred and one per year (will be entered) on his account. If Badu Lall or any other person stays (in the shop), then his expenses per year, as well as those of the women, will be entered in the (account of the) shop. All expenses in connexion with the shop, sundry expenses, shop expenses, the expenses for the journey to and from Calcutta, if it be necessary to go there for a marriage and the expenses of going there for the purpose of (performing) the 'Nukta' (Sradh and other funeral ceremonies), shall be entered in the (account of the) shop. Further, items entered in the Dharma account shall be entered in the (account of the) shop. 'Dharmada' will not be sent elsewhere out of the Duliyana shop. And (expenses in connexion with) marriages, etc. and 'Nukta' ceremonies shall be debited to the party concerned. And (the cost of) clothes, etc., ornaments and jewelleries that are made shall be debited to the party concerned. It shall be debited to the party that makes them. Further, out-standings and sums due to the shop shall remain (shall be divided) according to the respective shares. Further, the entire business shall remain in charge of the person who stays in the shop transactions with parties and all work shall remain in his charge. Further, outstandings shall remai