Helper Girdharbhai v. Saiyed Mohmad Mir Qadri
AIR 1987 SC 1782 · Supreme Court of India
Whether a person is a partner or a servant depends on the real agreement, including profit-sharing and control, not on nomenclature.
Unit V · Law of Contract – II
Dissolution of firm and limited liability partnership
Study aid only. Confirm statute numbers with the current bare Act and the official OU LL.B. (3-YDC) 2024–25 syllabus PDF.
Statute sections
| Act / instrument | Section | Name |
|---|---|---|
| Indian Partnership Act, 1932 | 39–55 | Dissolution of a firm and its consequences |
| Limited Liability Partnership Act, 2008 | 3–4 | Limited liability partnership to be a body corporate |
| Limited Liability Partnership Act, 2008 | 26–27 | Partners of an LLP and their relationship |
| Limited Liability Partnership Act, 2008 | 28 | Extent of liability of limited liability partnership |
Landmark cases
CIT v. Kalu Babu Lal Chand
AIR 1959 SC 1289 · Supreme Court of India
A partnership that is genuine and not a mere device will be recognised for legal and fiscal purposes.
Previous-year questions
Mapped 6 / 10 / 15-mark questions on this topic. Frequency is how many papers repeat the question.
- 6 Dissolution of Partnership. · 2×
- 6 Partnership at Will. · 2×
- 10 Raju, a partner of a firm, borrows money on his own credit by giving his own promissory note, for the same, but he subsequently uses the proceeds of the note in the partnership concern of his own free will without any reference to the lender to do so. Is the firm liable for the loan? · 2×
- 10 A and B enter into a Partnership. One of the clauses of the Partnership Agreement is to the effect that the death of either partner his heirs shall take his place in the partnership. A died. Can his heir automatically become Partner with B? · 2×
- 15 Explain the circumstances in which a surety is discharged from liability. · 2×
- 6 Compulsory Dissolution of a Firm. · 1×
- 6 Liability of Bailor. · 1×
- 6 Liability of Co-Sureties. · 1×
- 6 Liability of Estate of Deceased Partner. · 1×
- 6 Limited Liability Partnership. · 1×
- 6 Dissolution of firm. · 1×
- 10 A gave his watch for repair to B. B misplaced it. What is the liability of B? Discuss the relevant law. · 1×
- 10 'B' signed a guarantee to the Bank, which on the face of it, was intended to be the joint and several guarantee of co-sureties, A, B, C and D. 'D' did not sign and afterwards died in an accident. Decide the liability of 'B' as co-surety. · 1×
- 10 A retailer received the goods from an agent of the firm X and paid the amount to the agent who misappropriated it. Discuss the liability of the agent and the firm X. · 1×
- 10 An unregistered partnership firm borrows Rs. 1,00,000/- from X the firm failed to repay it within time. Now what can Mr. Y do to recover the amount? Advise. · 1×
- 15 How Partnership Firms are registered? What are the Consequences of Registration and Non - Registration of Partnership Firm? · 1×
- 15 Define "Partnership" and distinguish it from "Agency". · 1×
- 15 What are the various modes for Dissolution of a Partnership Firm? · 1×
- 15 Define the "Contract of Guarantee", and discuss the extent of the Liability of the Surety. · 1×