Q. Just Because A Business Was Run By A Karta Of A Hindu Undivided Family In A Tenanted Premise, Whether There Is Any Presumption That It Is A Joint Hindu Family Business?

A. NO

RELEVANT CASE LAW:

KIRAN DEVI Vs. BIHAR STATE SUNNI WAKF BOARD LL 2021 SC 195

FB HELD THAT

• there is no presumption under Hindu Law that business standing in the name of any member of the joint family is a joint business
• even if that member is the manager of the joint family,
• even if a male member had taken premises on rent,
• he is tenant in his individual capacity and not as Karta of Hindu Undivided Family
• in the absence of any evidence that Karta was doing the business for and on behalf of Joint Hindu Family

EXCEPTIONS:

• unless it could be shown that the business in the hands of the coparcener grew up with the assistance of the joint family property or joint family funds
• or that the earnings of the business were blended with the joint family estate.