1944 Supreme(Mad) 106

IN THE HIGH COURT OF MADRAS
Leach, C.J.
A. Jainulabdeen
Versus
Commr. of Income-tax
Decided On : 17.03.1944

An order appointing managing agents, made in accordance with an agreement between the parties, does not constitute an order of the court within the contemplation of Section 41.

Headnote:

Section 41 - Court Order - The court held that an order appointing managing agents, made in accordance with an agreement between the parties, did not constitute an order of the court within the contemplation of Section 41.

Fact of the Case:

The court considered the appointment of managing agents, which was made at the request of the parties, and whether it constituted an order of the court under Section 41.

Finding of the Court:

The court found that the appointment of managing agents, made in accordance with an agreement between the parties, did not qualify as an order of the court under Section 41.

Issues: The issues involved the interpretation of Section 41 and whether the appointment of managing agents, made at the request of the parties, constituted an order of the court.

Ratio Decidendi: The court determined that an order passed on the terms agreed upon by the parties, even if involving a minor, remained an agreement between the parties and not an order of the court within the contemplation of Section 41.

Final Decision: The court answered the first question in the negative, and as a result, the second question did not arise. The Commissioner of Income Tax was awarded costs of Rs. 250.