https://www.taxtmi.com/caselaws?id=67765 Formation of a partnership to conduct country liquor business was not rendered illegal merely because prior written permission of the excise authorities had not been obtained. The licence remained in the name of one partner, was not transferred to the firm, and the business continued under that partner's management, with the other partner acting as a financier. Since the excise law provided separate consequences for breach of licence conditions, namely fine or cancellation of licence, the arrangement was not treated as an agreement forbidden by law or opposed to public policy. The firm was therefore valid in law and entitled to registration, and the objection based on section 23 of the Indian Contract Act failed. en-us Fri, 16 Nov 1979 00:00:00 +0530 Mon, 14 Mar 2011 15:00:06 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=67765 Formation of a partnership to conduct country liquor business was not rendered illegal merely because prior written permission of the excise authorities had not been obtained. The licence remained in the name of one partner, was not transferred to the firm, and the business continued under that partner's management, with the other partner acting as a financier. Since the excise law provided separate consequences for breach of licence conditions, namely fine or cancellation of licence, the arrangement was not treated as an agreement forbidden by law or opposed to public policy. The firm was therefore valid in law and entitled to registration, and the objection based on section 23 of the Indian Contract Act failed. Case-Laws Income Tax Fri, 16 Nov 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=67765