Validity of unregistered agreement of partnership
aditya
(Querist) 16 April 2015
This query is : Resolved
About 40 years ago my father and uncle (fathers brother) together started a partnership firm. During the course of time, both of them have died and the partnership has been changed to 4 partners of mysqlf and my brother (uncles son) and our wives in 45:45:5:5 ratio. Recently my brother also passed away due to ill-health.
Now my maternal uncle is showing us an unregeister document (on a Rs 100 bond paper) signed by my father and uncle some 30 years ago agreeing to give him a 33% share in the business. We were never aware of the existence of this document, neither he ever claimed partnership in the business. The partnership deed has been changed two times over the years (after the death of my father and my uncle) and he never existed as a partner in them.
Now, how valid is his claim for partnership now. He never invested any capital and managed the business. Are the remaining partners entitled to honour the unregistered, signed paper?
Please guide me about the legal implications of his claim. Thank you...
Anirudh
(Expert) 16 April 2015
Your uncle will not be able to succeed in his attempt, for many reasons, including that the agreement in question is not registered. Whenever you get a legal notice from your uncle, you have to approach a lawyer and give appropriate legal reply to the said legal notice.
Rajendra K Goyal
(Expert) 16 April 2015
Any partnership comes to an end after any partner expires and new partnership starts.
The document is unregistered.
So many other factors exist against your uncle's claim.
Legally any claim on the basis of the said document will not succeed.
aditya
(Querist) 16 April 2015
Thank you Mr Anirudh and Mr Goyal. I appreciate your time.
malipeddi jaggarao
(Expert) 17 April 2015
Your father signed on stamp paper unregistered document only agreeing to give partnership. But it was not implemented during his life time. The moment your father died, this promise does not have any value. Hence you simply forget his claim. He can not do anything.
T. Kalaiselvan, Advocate 
(Expert) 24 April 2015
Well explained by experts above. To add, it may be barred by limitation too.
