X, Y and Z are partners in a registered firm. X died. The firm filed a suit against W in the name and on behalf of firm without notifying to the Registrar of firms about the changes in the constitution of the firm. Is the suit maintainable?
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Solution
Solution: Section to which the given problem relates: Section 69(2). Decision: Yes. Reason: Both the requirements of Section 69(2) have been complied with (i) the suit must be instituted by or on behalf of the firm which had been registered; (ii) the persons suing must have been shown as partners in the Register of Firms. Persons suing means all the partners at the date of instituting the suit. [Leading case Durga Das v Preete Shah]