Partnership in respect of Agricultural Land by Shiva.

Partnership in respect of Agricultural Land

This PARTNERSHIP is made the . . . . . . . . . day of . . . . . . . . . in the year . . . . . . . . . BETWEEN AND BY the following described persons:

1. Sri. . . . . . . . ., aged about . . . . . . . . . years, son of . . . . . . . . ., resident of. . . . . . . . .;

2. Sri . . . . . . . . ., aged about . . . . . . . . . years, son of . . . . . . . . ., resident of . . . . . . . . .;

3. Sri . . . . . . . . ., aged about . . . . . . . . . years, son of . . . . . . . . ., resident of . . . . . . . . .;

hereinafter for the sake of brevity referred to as the First Party, Second Party, Third Party.

WHEREAS the parties abovenamed own and possess the below-noted and described land, detail whereof is given in the Schedule hereto, and with the object of promoting the mutual financial and agricultural interests of the parties, the parties hereto enter into this agreement and bind themselves to the following terms and conditions, that is to say:

1. That this partnership shall be called . . . . . . . . . and shall be deemed to have commenced on and from . . . . . . . . . and shall continue as such partnership notwithstanding the death, insolvency or other incapacity of any of its members till duly dissolved by the majority opinion as hereinafter provided in this deed. The capital of this partnership shall be the sum of Rs . . . . . . . . . on which sum stamp duty has been paid.

2. The business of the partnership shall be to exploit the land by cultivation or otherwise.

3. That the partners shall and hereby duly appoint, elect and constitute Sri. . . . . . . . ., Third Party abovenamed the Manager of the partnership for such period as the members agree not to dismiss him from such office by majority opinion and re-elect, appoint and constitute another Manager in his place and stead from amongst them.

4. That the Manger shall on behalf of the partnership have the following powers and duties, that is to say:

(i)   He shall direct the business of the partnership, look after the same and all agricultural and other operations on the lands brought into the common pool (a detailed description of which lands is given in the Schedule hereto) for such agricultural purposes as may be required. He shall employ and dismiss labour and other servant or servants of the partnership on such terms as he may consider fit and proper and he shall pay all taxes, cesses and shall receive all monies due and owing to the partnership, whether from sale of the produce or otherwise, issue receipts and demand, sue for all monies and things due to the partnership and shall conduct, appear and file or defend cases, lawsuits, etc. in any court, office, tribunal or elsewhere;

(ii)   AND for the said purposes may, Engage or dismiss any lawyer, advocate, mukhtiar, agent or manager and invest him or them with such powers and duties as may be necessary or expedient for conducting, appearing, filing, defending or otherwise dealing with all or any of the matters during the working of the partnership or for the purposes of winding up its affairs and to pay him or them such remuneration as may be necessary.

(iii)   To open an account or accounts in any bank or banks approved by partners and to operate upon the same under the joint/single signature of . . . . . . . . . or himself.

(iv)   To keep or cause to be kept all accounts of the partnership, to get the same audited by an Auditor duly appointed by the partners and to place the profit and loss, balance-sheet of the partnership on the expiry of each financial year, not later than one month from the beginning of the next financial year.

(v)   To pay the profits or the lump sum amount as herein agreed to the partners and to obtain a clear discharge from each one of the other partners for such payment from the partners present or from such person as may be representing him or them in such annual meeting.

5. That Shri . . . . . . . . . , Third Party, shall be the financing as well as the working partner and for such consideration he is appointed Manager and in view of this fact the parties have agreed and hereby agree to share in the produce of the agricultural and other business profits in the manner appearing and also, in view of this fact, no other partner shall be liable for any losses, if incurred.

6. That Sri . . . . . . . . ., First Party, shall get a lump sum of Rs . . . . . . . . . per half year, or . . . . . . . . . per cent of the profits, whichever is more, but shall not be liable to the payment of any losses; likewise Sri . . . . . . . . ., Second Party, shall get . . . . . . . . . and Sri . . . . . . . . , Third Party, the Manager on account of the facts mentioned in Para 4 above be entitled to the balance of the profits and shall alone be liable to the losses, if any.

7. That for the office of the Manager there shall be no extra remuneration, but the Manager shall be entitled to all actual expenses incurred by him on account of the legitimate business of the partnership, which expenses shall be duly debited to the partnership account and thereafter the profit or the loss worked out.

8. That the partnership shall be liable to dissolution only if the majority of the partners so decide or the Manager so desires. In the event of the partnership deciding to terminate itself, such termination shall be effected from the last day of the financial year.

9. That on the partnership being dissolved the parties hereto agree as under:

The working, financing partner or the Manager shall be entitled to the balance of the profit for the year, the goodwill, the assets, stock-in-trade, agricultural implements etc. and shall alone be liable for all losses, book debts etc. and the other partners shall be entitled to the profits for the year calculated at the agreed rate of . . . . . . . . . per cent up to the date of dissolution, the other partners shall not be liable to the payment of any part or share of the losses, if any. In case any building or construction has been made by the partnership on any land, it shall go with the land and shall be the property of the person owning the land, no other partner shall be entitled to any compensation therefor.

10. That the partners further hereby agree to accept the audited accounts, whether placed at the yearly meetings or at the time of dissolution as correct without the production of any other or further documents, paper or voucher. The signature of any partner or his representative at the end of any account shall be conclusive proof of such partner having accepted the account without reserving to himself any right to reopen or question the same at a later date.

IN WITNESS whereof the partners have hereto at the places and dates appearing under their signatures signed and executed this deed of partnership.

Witnesses:

1.                                                                               1.

2.                                                                               2.

3.

Partners.

SCHEDULE OF LAND POOLED

[Referred to in Para 4(1), above]