Under Section 63(1) of the Indian Partnership Act, 1932, the Registrar of Firms cannot insist on the signature of an expelled or outgoing partner to record the reconstitution of a firm, as the role of the Registrar is ministerial and not adjudicatory.

THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE ENDORSEMENT DATED 17.03.2026, BEARING NO. DRO/SJN/FIRM/2025-26/2395 ISSUED BY THE SECOND RESPONDENT VIDE ANNEXURE-A AND DIRECT THE RESPONDENT NO.2 TO RECORD THE RECONSTITUTION OF THE PETITIONER FIRM, BY ISSUING FORM-V, WITHOUT INSISTING THE SIGNATURE OF EXPELLED PARTNER, IN THE INTEREST OF JUSTICE AND EQUITY.

THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE SACHIN SHANKAR MAGADUM

ORAL ORDER

The captioned petition is filed seeking writ in the nature of certiorari to quash the endorsement dated 17.03.2026 and direct respondent No.2 to record reconstitution of petitioner/firm by issuing Form-V without insisting the signature of expelled partner.

2. Heard learned counsel for the petitioners and learned AGA. The short point that needs consideration is as to whether the impugned endorsement is sustainable in the light of order passed by the Coordinate Bench in an identical case where the Coordinate Bench held that Form- V can be filed without insisting the signature of the either outgoing or expelled partner.

3. This Court therefore deems it fit to extract para 3 and 4 of the order. The same is extracted which read as under:

"3. Perusal of Form-V shows that it can be filed by incoming, continuing or outgoing partner.

4. In Jeevanlal it is held as follows:

"7. Section 63 (1) of the Indian Partnership Act reads as follows:

" Section 63 . Recording of changes in an dissolution of a firm.--(1) When a change occurs in the constitution of a registered firm any incoming, continuing or outgoing partner, and when a registered firm is dissolved any person who was a partner immediately before the dissolution, or the agent or any such partner or person specially authorised in this behalf, may give notice to the Registrar of such change or dissolution, specifying the date thereof; and the Registrar shall make a record of the notice in the entry relating to the firm in the Register of Firms, and shall file the notice alongwith the statement relating to the firm filed under Section 59."

Thus Section 63 (1) consists of two parts.

The first part of Section 63 relates to the retirement of some of the partners which results in reconstitution of the partnership firm and secondly in cases where retirement of partners results in dissolution of the partnership firm. It is made very clear in the said section that after retirement of some of the partners, if the partnership firm is reconstituted and it is continuing then the same has to be intimated by the incoming partners, continuing partners or outgoing partners or by any person who is specially authorised by them to the Registrar. It is only in cases where there is dissolution of partnership firm which arise out of retirement of the partners then the retired partners have to sign the Form No.V.

8.

9. In these circumstances, the stand taken by the third respondent that to avoid any future litigation between the partners, signature of the outgoing partners is required has no legal basis at all. It is not for the third respondent to decide about the legal dispute between the partners as the disputes will be decided as per the partnership deed and it is not the concern of the third respondent at all."

4. In the light of the judgement rendered by the Coordinate Bench in an identical fact situation, this Court is of the considered view that the impugned endorsement cannot be sustained either on facts or in law. The scheme and object underlying Indian Partnership Act