a. Under the Partnership Deed, Mr. Luthra and I agreed that all new mandates, new hires or new assets that we create shall vest with Firm and neither of us can engage in legal practice outside of the Firm/a new division set up by the Firm. Till October 1, 2003, Mr. Luthra had limited ability to carry out legal work through his erstwhile sole proprietorship (i.e. Luthra & Luthra Law Offices), after which date all such operations (including employees, if any) also stand assigned to the Firm. (Please see Clause 4).

b. Till 2010, Mr. Luthra had a casting vote on all material decisions of the Firm. Post 2010, the casting vote fell away (barring with respect to very limited matters such as amalgamation with a foreign firm, addition or removal of an equity partner that may have joined the Firm post its formation) and therefore all material decisions in relation to the Firm has to be unanimously agreed between Mr. Luthra and myself. Neither Mr. Luthra nor I can therefore unilaterally decide on matters such as hiring and firing of retainers/salaried partners/employees of the Firm, remuneration of lawyers etc. (Please see Clause 7A). Therefore, be rest assured, that neither of us have disproportionate powers to tinker around with your careers in the Firm and you should go about business within the Firm without having any fear on this count.

c. I am certain, each one of you were nervous at the prospects of dissolution of the Firm by Mr. Luthra. Please note that, as per our Partnership Deed, this is not a partnership at will and hence, no such dissolution will be permissible without my concurrence. (Please see Clause 8 (a)). I can assure you that I have not accepted any of his dissolution threats and will not agree to the same, since this will impact the lives and careers of each one of you.

d. Mr. Luthra does not have the right to ask me to leave the Firm. Furthermore, with effect from October 2003, I am entitled to retain all existing clients of the Firm. (Please see Clause 5A)

e. On the other hand, if Mr. Luthra decides to leave the Firm, the Partnership Deed states as follows:

i. Mr. Luthra will have no right to the name of the Firm and the same along with associated goodwill shall vest with me/the Firm being run by me. (Please see Clause 5A, the paragraph under sub-Clause 1 read with Clause 9A (b)).

ii. All assets, offices, employees, counsel, clients etc. shall vest in me. (Please see Clause 9A (a)).

iii. Mr. Luthra will not be able to work with or engage the services of any employees, counsel, member of the Firm. (Please see Clause 10A (i))

Jharkhand High Court's Justice Anant Bijay Singh resigns, appointed as NCLAT Judicial Member

Bar & Bench