Amendment status not verified — confirm the current text below against the official source.
Rights of outgoing partner to carry on competing business - (1) an otitgoing partner may carry on a business competing with that of the firm and he may advertise such business but, subject to contract to the contrary, he may not - Use the firm name, Represent himself as carrying on the business of the firm Olicit the custom of persons who were dealing with the firms before he ceased to be a partner. 2) Agreement in restraint of trade - A partner may make an agreement with his partners that on ceasing to be a partner he will not carry on any business similar to that of the firm within a specified period, or within specified local limits; and., notwithstanding anything contained in Sec.. 27 of the Indian Contract Act, 1872, such agreement shall be valid if the restrictions imposed are reasonable.