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Law · Q553

Indian Partnership Act

Graduate and Post Graduate · Law · question 553

Q553

An agreement in restraint of carrying of similar business as that of the firm between the partner and the buyer of the goodwill, under section 55(3) of the Indian Partnership Act, 1932 shall

A.
Be valid if restriction imposed are absolute
B.
Be valid if the restriction imposed, under the agreement are reasonable, but may not relate to the period or locallirnits
C.
Be invalid
D.
Be valid if relates to period or local limits and the restrictions imposed are reasonable
Answer

Answer: Option D

Solution

Answer: Option D
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