Amendment status not verified — confirm the current text below against the official source.
Agreement in restraint of trade - 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 specific period or within specified local limits and notwithstanding anything contained in section 27 of the Indian Contract Act 1872 such agreement shall be valid if the restrictions imposed are reasonable. Short Note -Sec-54- Word 'or' used in between' within a specified period or within specified local limits cannot be read as 'and ' - 1969 WLN 570