Kodendera K. Uthaiah (D) By Lr vs P.M. Medappa .

The Supreme Court held that Clause 14 of the partnership deed governs the rights of legal heirs upon the death of a partner, requiring notice to be served for the clause to become operational. The Court found that the notice dated 15.10.1990 was not served on all legal heirs, thus Clause 14 did not apply, leading to the dissolution of the firm under Section 42(c) of the Partnership Act. The Court upheld the High Court's decision to grant a 1/4th share to the legal heirs with interest at 6% per annum until settlement, affirming the need for proper notice to activate the partnership clause.