2002 (8) TMI 656

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....R, for the Respondent. [Order per : Gowri Shankar, Member (T)]. -  The question for consideration in this appeal is the liability to duty to the amount paid by the appellant to ABB Electrocondutture, Italy for the technical know-how that it proposed to acquire from it. The appellant entered into an agreement with the Italian company for manufacture of earth leakage circuit breakers. The....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ds there seems would not form part of their value. This requirement contained in Rule 9(1)(c), he says, would clearly not apply to the facts before us. The fees for payment of know-how either as lump sum or royalty are clearly not conditional upon the sale of the goods and are completely independent of it, even if contained in the same agreement. He relies upon the decision of the Tribunal's decis....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... specifically says that the payment of lump sum and royalty are in consideration of the Italian company having disclosed the know-how and technical devices and data. Ninety five per cent of this lump sum shall be towards transfer to current knowhow and the balance 5% is for transfer of knowhow, relating to improvement made by the Italian company for the product during the pendency of the agreement....