High CourtsSingle Bench(1915) 09 MAD CK 0026

A.P.R.S. Chinniah Chetty by Agent, Kalyasundaram Iyer vs Tikkani Ramaswami Chetty and Another

Madras High Court · Decided on 24 September 1915 · Citation: 31 Ind. Cas. 317

HON’BLE JUDGES
Srinivasa Aiyangar, J

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Judgment

10 paragraphs · 267 words

Srinivasa Aiyangar, J.—This, is a suit on a promissory note executed by defendants Nos. 1 and 2, and the other defendants Nos. 3 and 4

are sought to be made liable on the ground that the debt borrowed by the defendants Nos. 1 and 2 was borrowed for the purposes of the joint

family of which all the defendants'' are ""members. The lower Court has given a decree against the defendants Nos. 1 and 2 and has declined to

give a decree against defendants Nos. 3 and 4, on the ground that as the note was a negotiable note, defendants Nos. 3 and 4 who did not

execute it ought not to be made liable. I think the lower Court is wrong in so holding. The Full Bench decision in Krishna Ayyar v. Krishnasami

Ayyar 23 M.k 597, really concludes this matter. The mistake that is made is in supposing that persons other than the party who executes the note,

are sought to be made liable on the contract itself. The other persons are sought to be made liable on account of the debt which is contracted by

the managing member or managing members. It is a liability imposed on them by the Hindu Law apart from the contract entered into by the other

members. The decree of the lower Court is, therefore, modified, and there will be a decree against defendants Nos. 3 and 4 also; but they would

not be personally liable on the note, but the plaintiff will be entitled to attach the family property in execution. I make no order as to costs.