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april 2014

Supreme Court of India · 2014-04-17

BHARAT PETROLEUM CORP. LTD. vs B.M. MOTORS .

Citation / case number
SC 2014/413
Court
Supreme Court of India
Petitioner
BHARAT PETROLEUM CORP. LTD.
Respondent
B.M. MOTORS .
Author
C. NAGAPPAN
Bench
C. NAGAPPAN T.S. THAKUR

Judgment text excerpt

The Supreme Court upheld the High Court's decision to quash the order of Bharat Petroleum Corporation Ltd. that had stopped the supply of petrol to the partnership firm, B.M. Motors, following the death of one of its partners. The Court emphasized that the partnership agreement allowed for continuity of the business despite changes in partnership, and that the Corporation's refusal to supply was unjustified under the circumstances. The judgment reinforces the principle that a partnership continues to exist and operate despite the death of a partner unless explicitly stated otherwise in the partnership agreement.

BHARAT PETROLEUM CORP. LTD. vs B.M. MOTORS . · Niyam