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Private Limited companies owned by family and legal heirs partition re


19-Nov-2023 (In Civil Law)
Sir i wish to know that if the private limited companies are owned by family shareholders can they apply for partition and get their shares through court as an individual or through shares..their UDS sale deeds are in the name of the private limited, public limited and trust. They are claiming as legal heir of the share holder and that it is closely held family companies only. When the viel of incorporation is lifted they assume that the property can be divided individually. In my case I was fighting in a suit for specific performance against a company private limited. But the legal heirs of the company applied for partition suit to give property with metes and bounds individually. They got the preliminery decree for the uds shares which is not 100 % owned by them. Iam owning the 90 % of the property and balance is owned by the private limited company .Without mentioning me as a party to the suit they got decree in their favor for family partition and now in EP stage. How to stop
Answers (1)

Answer #1
574 votes
you can implead the legal heirs of the owners of the private company in the specific performance case if the owners of the company are not alive...The main issue is your locus standi..it means your right as far as their partition suit is concerned..if you do not have any right over their property, you will not be taken as the necessary party to the suit or EP. As far as the trust property is concerned, everything is depend upon the trust deed..in your all cases, it is difficult to give the proper advice without the perusal of the documents...

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