Lakshumanan Chetty And Ors. vs R.M.K.S. Sadayappa Chetty And Ors. on 15 August, 1918
In Lakshumanan Chetty v. Sadayappa Chetty 35 M.L.J. 571 : 48 Ind. Cas. 179 : A.I.R. 1919 Mad. 816 : 8 L.W. 594 : (1918) M.W.N. 877 : 25 M.L.T. 371, it was held that where a receiver in an action for dissolution of partnership had authority to do all things necessary for the preservation of the assets of the firm, an acknowledgment of liability made by him in respect of a claim against the, partnership was held a sufficient acknowledgment within the meaning of Section 19, Limitation Act, to prevent the claim being barred against the partners. Their Lordships observe that in many cases an acknowledgment of a debt may be necessary to save the estate from loss and thus necessary for the preservation of the estate. The learned Subordinate Judge in this case find that the acknowledgment was made to prevent the creditor from filing a suit and to avoid unnecessary expense to the partnership. Therefore, I am of opinion that. Ex. F would avail as an acknowledgment of liability even as against defendant No. 2.