Law: Partnership Act, 1932

Section:

Ss. 63 & 69-Section 63 does not prescribe any time limit for sending intimation to Registrar regard ing change of members or name of firm-Mere change of members or name of firm does not automatically dissolve firm-Mere fact that suit filed by firm under new name was filed prior to intimation to Registrar under S. 63 does not render suit not maintainable---- Section 69 not applicable.   A firm in the name of Messrs J. Bros. & Co. was registered on 26-10-1952. Two partners J and K who were minors and admitted only to the benefit of the partnership left the firm on 1-4-56 and H and K were taken in as partners and the name of the firm was also changed from that of Messrs J. Bros. & Co. to Messrs J. Bros. only. A suit against a person who had dealings with the firm before its change in name was filed by the firm under the new name on 2-1-57. The intimation of the change of the name of the firm and the partners of the firm was, however, given to the Registrar on 8-3-1957. It was contended on behalf of the defendant that in the circumstances the firm which originally functioned under the name and style of Messrs J. Bros. & Co. had ceased to exist and new firm under the name of Messrs J. Bros. had come into existence and there fore under section 69 or Partnership Act, 1932 the new firm had no locus standi to file the suit:   Held, that the suit was maintainable and there bad been absolutely no contravention of the provisions of section 69 of the Partnership Act, 1932. There is in law no restriction in regard to some of the members of the firm leaving the firm and some new members being taken in their place. There is also no restriction as regards change of name of firm. Merely because the name of the firm had been changed or some of the members of the firm had left and some new members had been taken in it did not necessarily mean that the firm had been dissolved and that a new firm had been set up. The firm Messrs J. Bros. & Co. which ultimately came into being as Messrs J. Bros was not a new firm but was the same firm continuing under a different name. Section 63 of the Partnership Act, 1932 under which an intimation with regard to the…