Indian Partnership Act, 1932
Indian Partnership Act, 1932
CHAPTER VI — DISSOLUTION OF A FIRM · Section 54

Agreements in restraint of trade

Synced on 13 Aug 2026Text as per India Code

Partners may, upon or in anticipation of the dissolution of the firm, make an agreement that some or all of them will not carry on a business similar to that of the firm within a specified period or within specified local limits; and notwithstanding anything contained in section 27 of the Indian Contract Act, 1872 (9 of 1872), such agreement shall be valid if the restrictions imposed are reasonable.

Judgments on Section 54