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2025 Supreme(Online)(HP) 5038

IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA
Ajay Mohan Goel, J
M/s Sai Filling and Service Station – Appellant
Versus
M/s Hindustan Petroleum Corporation Limited and another – Respondent
CWP No. 3299 of 2019



Advocates:
For the Appellants/Petitioners: Mr. Neeraj Gupta, Mr. Ajeet Pal Singh Jaswal
For the Respondents: Mr. Nitin Thakur

Wills must be probated for valid transfer of business interests, with legal heirs required to be involved in estate matters.

Headnote:(A) Writ Petition - Petitioner seeking reconstitution of a retail outlet dealership on the basis of a Will - Need for probate emphasized by the Corporation - Clause from the partnership agreement noted requiring continued acknowledgment of survivors and heirs after the death of a partner. (Paras 1, 10, 13).

(B) Legal Standing - Court emphasizes the necessity for the involvement of legal heirs as parties in estate matters - The absence of legal heirs in the present case highlights jurisdictional concerns and merits scrutiny of intent and obligation. (Paras 11, 13)

Facts of the case:
The petitioner sought reconstitution of the dealership in the name of a surviving partner following the death of the original partner, supported by a Will which the respondent-Corporation required to be probated to process the reconstitution.

Findings of Court:
The Retail outlet dealership agreement became ineffective upon the death of the original partner and particularly as it was connected with specific qualifications under the dealership rights.

Issues: The court addressed whether the Will could validly transfer dealership rights and the implications of legal heir involvement post-death.

Ratio Decidendi: The court held that without probate, legitimate claims over the deceased's estate remain unresolved, thus necessitating due legal process to establish authority over the outlet.

Result: The petition is dismissed.

Table of Content
1. partnership agreement initiation and context. (Para 2 , 3)

IN THE HIGH COURT OF HIMACHAL PRADESH AT SHIMLA CWP No. 3299 of 2019 th Decided on 09 July 2025 M/s Sai Filling and Service Station …Petitioner Versus M/s Hindustan Petroleum Corporation Limited and another …Respondents Coram Hon’ble Mr. Justice Ajay Mohan Goel, Judge

1 Whether approved for reporting? Yes For the petitioner: Mr. Neeraj Gupta, Senior Advocate, with Mr. Ajeet Pal Singh Jaswal, Advocate.

For the respondents: Mr. Nitin Thakur, Advocate.

Ajay Mohan Goel, Judge (Oral By way of this writ petition, the petitioner has, inter alia, prayed for the following reliefs:-

“(a) Directing the respondents to reconstitute the retail outlet exclusively in the name of surviving partner Shri Surinder Kumar Sharma on the basis of Will dated 07.03.2003 executed by Shri Des Raj Sharma in his favour bequeathing his 51 shares in the business in favour of Shri Surinder Kumar without insisting for obtaining probate of the said Will.

(b) Directing respondents not to hamper, stop, cause obstruction in carrying out business operations of the retail outlet being run by the petitioner entity through Shri Surinder Kumar Sharma regularly.”

2. Particulars of the petitioner, as they stand spelled out in the memo of parties are as under:-

“M/s Sai Filling and Service Station, HPC, Petrol Pump, Village Chail-Chowk, Tehsil Chachiot District Mandi, (HP)-175 045 through its Partner Shri Surinder Kumar son of Shri Gian Chand, resident of Village and P.O. Chail-Chowk, Tehsil Chachiot, District Mandi, (HP).”

3. The case of the petitioner is. that one Sh. Desh Raj Sharma responded to an advertisement issued by the Hindustan Petroleum Corporation ffor setting up of a retail outlet dealership of the respondent-Corporation at Chail- Chowk, in District Mandi. Ltetter of Intent was issued in his favour on 28.06.1999. Thereafter, vide Annexure P-2, Sh. Desh Raj Sharma, who was carrying business in the name and style of M/s Sai Filling and Service Station HPC Petrol Pump, Chail Chowk, District Mandi, was informed of his appointment as a deahler of the respondent-Corporation which was effective from g20.01.2000 on the terms and conditions mentioned in the i agreement entered into between the Corporation and Sh. Desh Raj Sharma on 20.01.2000.

4. As per the petitioner, thereafter, Sh. Desh Raj Sharma, vide Annexure P-3, wrote to the respondent- Corporation on the subject of induction of a Financial Partner intimating them that he intended to induct Sh. Surinder Kumar Sharma as his partner in light of huge monetary implications spelled out in the said communication. Similarly vide Anne.xure P-4, Sh. Surinder Kumar Sharma, also made a request to the respondent-Corporation for induction. H

5. A partnership deed was entered into between Sh. Desh Raj Sharma and Sh. Surinder Kumar Sharma vide Annexure P-5 and this was followed by a memorandum of agreement which was entered into on 04.03.2005 between Sh. uDesh Raj Sharma and Sh. Surinder Kumoar Sharma on one hand and the respondent- Corporation Con the other hand with regard to the functioning of the retail outlet.

6. As per the averments made in the writ petition, Sh. Desh Raj Sharma, died on 23.12.2016. His death certificate is H appended with the petition as Annexure P-7. Thereafter, according to the petitioner, Surinder Kumar wrote to the respondent-Corporation vide Annexure P-8 dated 13.11.2018 that he had come to know that Sh. Desh Raj Sharma had passed away some time back and though, he was aware about the sickness of Sh. Desh Raj but, the news of his demise came as a shock. Accordingly, a request was made by him for grant of a period of 60 days to submit the documents for reconstit.ution without stopping the sale and supply to the filling station.

7. Thereafter, vide Annexure P-9, DHeputy General Manager of the respondent-Corporation at Shimla wrote to the petitioner on 29.11.2018 that after the demise of Sh. Desh Raj, the retail outlet dealership ag

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