M/S Makrana Marble Emporium And Ors vs Vinod Kumar And Ors. (2025:Rj-Jd:3993) on 22 January, 2025

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Rajasthan High Court – Jodhpur

M/S Makrana Marble Emporium And Ors vs Vinod Kumar And Ors. (2025:Rj-Jd:3993) on 22 January, 2025

Author: Rekha Borana

Bench: Rekha Borana

[2025:RJ-JD:3992]


      HIGH COURT OF JUDICATURE FOR RAJASTHAN AT
                       JODHPUR

                    S.B. Civil Revision Petition No. 87/2014

 1. M/s. Makrana Marble Centre, Royal Palace, Opp. Jala Ram
 Petrol Pump, Kalawad Road, Rajkot (Gujrat) through Parnter
 Smt. Sadhna Indra Bhushan Sharma.

 2.    Smt. Sadhna Indra    Bhushan Sharma W/o Shri Indra
 Bhushan Sharma, Partner M/s. Makrana Centre, B-202, Ruchita
 Flat, 1/6 Balmukund Plot, Behind Fire Station, Nirmala Convent
 Road, Kalawad Road, Rajkot (Gujrat).

 3. Smt. Manisha Devendra Kumar Sharma W/o Shri Devendra
 Kumar Sharma, Partner M/s. Makrana Marble Centre, C-302,
 Shilpam Villa, Opp. I.O.C. Quarters, Behind New Crystal Maul,
 Jyoti Nagar, Main Road, Kalawad Road, Rajkot (Gujrat).

                                                                     ----Petitioners
                              Versus
  1. Vinod Kumar Sharma S/o Shri Kishan Gopalji Sharma, aged
  52 years, resident of A-B 160, Vivakanand Marg, DCM, Ajmer
  Road, Jaipur.
  2. M/s Makrana Marble Emporium (a registered partnership
  firm), Royal Palace, Opp. Jalaram Petrol Pump, Kalawad Road,
  Rajkot (Gujarat), through partner Shri Indra Bhushan Sharma
  S/o of Shreekishan Gopal Sharma
   3. Indra Bhushan Sharma S/o Shreekishan Gopal Sharma,
   aged about 50 years, partner M/s. Makrana Marble
   Emporium, Royal Palace, opposite Jalaram Petrol Pump,
   Kalawad Road, Rajkot (Gujarat).
   4. Devendra Kumar Sharma S/o Shreekishan Gopal Sharma,
   aged about 40 years, partner M/s. Makrana Marble
   Emporium,    Royal    Palace,   opposite  Jalaram   Petrol
   Pump,Kalawar Road, Rajkot (Gujarat).     ----Respondents

                                             AND

                S.B. Civil Revision Petition No. 89/2014

  1. M/s Makrana Marble Emporium (a registered partnership
  firm), Royal Palace, opposite Jalaram Petrol Pump, Kalawar
  Road, Rajkot (Gujarat) through its partner Shri Indra Bhushan
  Sharma S/o of Shri Kishan Gopal Sharma.
  2. Indra Bhushan Sharma S/o Shri Kishan Gopal Sharma,
  aged about 50 years, partner of M/s. Makrana Marble
  Emporium, Royal Palace, opposite Jalaram Petrol Pump,
  Kalawar Road, Rajkot (Gujarat).


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 [2025:RJ-JD:3992]                    (2 of 8)                      [CR-87/14 & 89/14]


     3. Devendra Kumar Sharma S/o Shri Kishan Gopal Sharma,
     aged about 40 years, partner of M/s. Makrana Marble
     Emporium, Royal Palace, opposite Jalaram Petrol Pump,
     Kalawar Road, Rajkot (Gujarat).          ----Petitioners
                                     Versus
     1. Vinod Kumar Sharma S/o Shri Kishan Gopal Sharma
     residing at A-B 160, Vivakanand Marg, DCM, Ajmer Road,
     Jaipur.
     2. M/s Makrana Marble Centre, Royal Palace, opposite Jalaram
     Petrol Pump, Kalawar Road, Rajkot (Gujarat) through its
     partner Smt. Sadhna Indra Bhushan Sharma.
     3. Smt. Sadhna Indra Bhushan         Sharma W/o Shri Indra
     Bhushan Sharma, resident of B-202, Ruchita Flats, 1/6
     Balmukand Plot, behind Fire Station, Nirmala Convent Road,
     Kalawar Road, Rajkot (Gujarat).
     4. Smt. Mainsha Devendra Kumar Sharma W/o Shri Deverdra
     Kumar Sharma, partner Makrana Marble Centre, resident of C-
     302, Shilpam Villa, opposite IOC quarters, behind new Crystal
     Mall, Jyoti Nagar, Main Road Kalawar Road, Rajkot (Gujarat).
                                                                 ----Respondents


 For Petitioner(s)         :     Mr. Ranjeet Joshi, Mr. Vishwajeet
                                 Joshi & Mr. Kapil Bissa (in CR
                                 No.87/14)
                                 Mr. Muktesh Maheshwari with
                                 Mr. Gourav Choudhary(in CR
                                 No.89/14)
 For Respondent(s)         :     Mr. R.K. Thanvi, Sr. Adv. assisted by
                                 Mr. Narendra Thanvi & Mr. Mahendra
                                 Thanvi



              HON'BLE MS. JUSTICE REKHA BORANA

Order

22/01/2025

1. The present revision petitions arise out of the same order

impugned and hence, were heard together and are being decided

by this common order.

2. The present revision petitions have been preferred against

the order impugned dated 28.02.2014 passed by the Additional

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District Judge, Parbatsar, District Nagaur in Civil Original Suit

No.57/2012 whereby two applications under Order 7 Rule 11, CPC

as preferred on behalf of defendant Nos.1 to 3 & defendant Nos.4

to 6 respectively, were dismissed.

3. The facts are that a suit for dissolution, rendition of

accounts, recovery and permanent injunction was filed by plaintiff

Vinod Kumar before the Court of Additional District Judge,

Parbatsar. In the said suit two applications under Order 7 Rule 11,

CPC were filed by defendant Nos.1 to 3 and defendant Nos.4 to 6

respectively.

4. The grounds raised by defendant Nos.1 to 3 in their

applications was primarily that the Court at Parbatsar did not have

the territorial jurisdiction to entertain the suit in question as the

registered office of the partnership firm was at Rajkot. Further, no

cause of action arose to the plaintiff at Parbatsar and hence, the

Court at Parbatsar had no jurisdiction to entertain the suit in

question.

5. Defendants No.4 to 6, while raising the above ground of

territorial jurisdiction also raised an additional ground to the effect

that the suit in question was barred by law in terms of Section 69

of the Indian Partnership Act, 1932 (hereinafter referred to as ‘the

Act of 1932’). It was averred that the plaintiff was not a partner in

defendant No.4-firm and hence, in terms of Section 69(1) of the

Act of 1932, had no right to sue defendant No.4-firm and its

partners.

6. The learned Trial Court proceeded on to reject both the

applications with an observation that there was a specific clause in

the partnership deed in question reflecting the administrative

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office of the firm in question to be at Parbatsar. The Court further

observed that the partnership deed dated 01.04.1994 was an

admitted document and hence, the specific clause of the said deed

wherein the administrative office of the firm was mentioned to be

at Parbatsar, would also be termed to be admitted.

7. The Court further observed that even otherwise, while

deciding the application under Order VII Rule 11, CPC the Court is

required only to consider the averments as made in the plaint and

the documents as annexed with the plaint. As per the averments

of the plaint, the firm had an administrative office at Parbatsar

and even the income tax returns of the firm were filed at

Parbatsar till the year 2014. The Court therefore observed that

prima facie the plaint could not be rejected on the ground of lack

of jurisdiction under Order VII Rule 11, CPC.

8. In the specific opinion of this Court, the finding as recorded

by the learned Trial Court qua territorial jurisdiction is totally in

consonance with the documents as annexed with the plaint as well

as the law governing the issue. Clause 2 of the partnership deed

dated 01.04.1994 read as under:

^^Hkkxhnkjh /ka/ks dh txg%&
;g Hkkxhnkjh /ka/kk jktdksV esa QkykokM+ jksM ij jks;y iSysl uke dh
fcYMhax esa “kq: fd;k x;k gS] vkSj QSDVªh blh uke ls ih- 12 jksM+ ua- 9 th-
vkbZ-Mh-lh- bUMLVªh;y ,LVsV yksf/kdk esa j[kh xbZ gSA /ka/ks dh ,Mfefu’Vªs”ku
vkfQl ijcrlj] ftyk % ukxksj % jktLFkku % esa jgsxhA Hkkxhnkjksa esa le>ksrk
gksus ij vkSj ,d nwljs dh lgefr ls /ka/ks dh txg cny ldrs gS vkSj fdlh
Hkh txg ij “kk[kk cuk ldrs gSA^^

9. A bare perusal of the above clause reflects that it was agreed

between the parties that the administrative office of the business

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[2025:RJ-JD:3992] (5 of 8) [CR-87/14 & 89/14]

of the firm would be at Parbatsar, District Nagaur. The effect and

application of the above clause to the present suit in question

would definitely be a subject matter for an issue to be framed and

decided by the Court. Definitely, the plaint cannot be rejected on

the count of lack of jurisdiction.

10. So far as judgment in Subodh Kumar Gupta V. Shrikant

Gupta & Ors.:1993 (2) SCC 1 as relied upon by learned counsel

for petitioners is concerned, therein the averments made in plaint

were ‘vague’ and nothing was placed on record to establish that

branch office of partnership was functioning at Chandigarh, further

no cause of action arose at Chandigarh.

11. Coming on to the ground as raised by defendant Nos.4 to 6

that the suit in question could not be laid by the plaintiff against

defendant Nos.4 to 6, he not being a partner in defendant No.4-

firm, this Court is of the clear opinion that the bar of Section 69(1)

& (2) of the Act of 1932 would not apply to the present suit in

question.

12. Section 69 of the Act of 1932 reads as under :

“69. Effect of non-registration.–(1) No suit to
enforce a right arising from a contract or conferred by
this Act shall be instituted in any Court by or on behalf
of any person suing as a partner in a firm against the
firm or any person alleged to be or to have been a
partner in the firm unless the firm is registered and the
person suing is or has been shown in the Register of
Firms as a partner in the firm.

(2) No suit to enforce a right arising from a contract
shall be instituted in any Court by or on behalf of a firm
against any third party unless the firm is registered and

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the persons suing are or have been shown in the
Register of Firms as partners in the firm.
(3) The provisions of sub-sections (1) and (2) shall
apply also to a claim of set-off or other proceeding to
enforce a right arising from a contract, but shall not
affect–

(a) the enforcement of any right to sue for the
dissolution of a firm or for accounts of a dissolved firm,
or any right or power to realise the property of a
dissolved firm; or

(b) the powers of an official assignee, receiver or Court
under the Presidency-towns Insolvency Act, 1909 (3 of
1909), or the Provincial Insolvency Act, 1920 (5 of
1920), to realise the property of an insolvent partner.
(4) This section shall not apply–

(a) to firms or to partners in firms which have no place
of business in [the territories to which this Act
extends], or whose places of business in [the said
territories] are situated in areas to which, by
notification under [Section 56], the Chapter does not
apply, or

(b) to any suit or claim or set-off not exceeding one
hundred rupees in value which, in the Presidency-

towns, is not of a kind specified in Section 19 of the
Presidency Small Cause Courts Act, 1882 (15 of 1882),
or, outside the Presidency-towns, is not of a kind
specified in the Second Schedule to the Provincial Small
Cause Courts Act, 1887
(9 of 1887), or to any
proceeding in execution or other proceeding incidental
to or arising from any such suit or claim.”

13. A bare perusal of the above provision reflects that as per

Section 69(3), the bar of Section 69(1) & (2) would not apply to

the suit wherein the enforcement of any right for the dissolution of

a firm or for accounts of a dissolved firm, or any right or power to

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realise the property of a dissolved firm, is prayed for. The suit in

question is admittedly for dissolution of the firm, rendition of

accounts of the firm and for realisation of the property of the firm.

The exception as carved out in Section 69(3) of the Act of 1932

would therefore, apply to the suit in question and the bar of

Section 69(1) & (2) would not apply.

14. The Hon’ble Apex Court while analysing Section 69 of the Act

of 1932 in the case of Umesh Goel vs. Himachal Pradesh

Cooperative Group Housing Society Ltd.; (2016) 11 SCC

313 observed as under :

“16. Keeping the above outcome of the legal position
that can be derived from a reading of Sub-sections (1),
(2) and (3) of Section 69 in mind we can draw further
conclusions by making specific reference to clauses (a)
and (b) of Sub-section (3) as well as the exceptions set
out in clauses (a) and (b) of Sub-section (4) as well.

When under Sub-section (3) which also relates to a ban
concerning “other proceedings”, the law makers
wanted to specifically exclude from such ban such of
those proceedings which are also likely to arise in a
suit, but yet the imposition of ban of an unregistered
firm need not be imposed. Keeping the said intent of
the law makers in mind, when we read clauses (a) and

(b) of Sub-section (3), it can be understood that even
though such other proceedings may be for the
enforcement of any right to sue but yet if it is for the
dissolution of a firm or for accounts of a dissolved firm
or any right or power to realize the property of a
dissolved firm, the same can be worked out by way of
a suit in a Court or by way of other proceedings in that
suit and the same will not be affected by the ban
imposed under Sub-section (3). Similarly, any steps

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initiated at the instance of an official assignee, a
receiver or Court under the Presidency-Towns
Insolvency Act, 1909
(3 of 1909) or the Provincial
Insolvency Act, 1920
(5 of 1920) to realize the
property of an insolvent partner in a pending suit of a
Court also stand excluded from the ban imposed under
Sub-section (3). The specific exclusions contained in
Clauses (a) and (b) of Sub-section (3), therefore,
makes the position clear to the effect that even though
such proceedings may fall under the expression “other
proceedings” and may be intrinsically connected with a
suit in a Court, yet the ban would not operate against
such proceedings.”

15. In view of the above ratio and in view of the above

observations and analysis, this Court does not find any ground to

interfere with the order impugned dated 28.02.2014 passed by

the Additional District Judge, Parbatsar, District Nagaur and the

present revision petitions are hence, dismissed.

16. Stay petitions and pending applications, if any, stand

disposed of.

(REKHA BORANA),J
421&422/-abhishek/praveen

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