1949 (8) TMI 15

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.... dispute was commenced on 1st January 1937 under an agreement between three partners, one N. Abdul Wahab now represented by defendants 1 to 8, Abdul Wahab, defendant 9 and Abdul Gafoor, respondent 1-plaintiff. A period of ten years was fixed as the duration of the partnership. Under the provisions of the agreement the two Wshabs had contributed the capital and Gaffoor was only the working partner.....

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.... value of the assets should be taken for assessing the profits and loss of the partnership or whether the market value of those assets should be considered in arriving at the profits. The learned District Munsif accepted the former view while the Sub-Judge accepted the latter and remanded the suit for fresh disposal to the District Munsif. It is against this remand order that defendants 1 and 9 ha....

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....ent of partnership debts must be divided amongst the partners in the shares in which they may be entitled to it." Where the articles expressly provide that the book value alone should be the basis for determining the profits, as in Coventry v. Barclay, (1864) 3 DE. G. J. & Section 320: 46 E. R. 659, that would govern the rights of the parties. In a case where the articles of partnership prov....

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.... partner. The object of the annual settlement is only for the definite purpose of assessing the profits at the end of the year and so long as the partnership is continued it does not make any difference to the partners even if notional value is taken as the value of the assets. The asset at that book value continues to belong to the firm and whatever fluctuations there may be in the value of that ....