By: Madhav Kumar
The Delhi High Court has agreed to keep in abeyance its judgment passed today staying the removal of Mohit Saraf from the partnership of L&L Partners till, January 22. it is directed that the operation of the direction, given in the judgment, shall remain in abeyance till January 22, 2021. the order passed by Justice V Kameswar Rao observed. It is understood that Founder and Managing Partner Rajiv Luthra will approach a Division Bench against the order tomorrow.
In the Single Judge Bench observed in its judgment prima facie held that Saraf’s termination from the partnership of the firm was not in good faith and the intention was not bona fide. The Senior Partner’s termination was thus stayed and till the conclusion of the arbitration proceedings between Saraf and Luthra. Further states that they have serious doubt on the stand of the parties, for the reason that the induction of partners could have only taken place with the approval of the other partner. It is the case of the parties here no approval was taken by the opposite party for the induction of respective partners by them. In the absence of any approval, no induction of partner could have been made. So, it follows on acceptance of withdrawal of the respondent by the petitioner in terms of email or termination of the partnership of the petitioner vide email dated October 13, 2020, by the respondent, the partnership of L&L stood dissolved.
Under section 9 of the arbitration and conciliation Act, In his petition before the Delhi High Court under Section 9 of the Arbitration & Conciliation Act, Saraf pressed for the restoration of last uncontested status at L&L Partners while his dispute with Luthra is referred to arbitration and now it is before Delhi high court.