Reviewed case brief

Anand Bihari Lal v Dinshaw & Co

AIR 1946 Oudh 408

The Oudh Chief Court held that the doctrine of indoor management does not protect outsiders who are put on inquiry by suspicious circumstances surrounding the transaction. Where the circumstances are such that a reasonable person would have investigated, the protection of the Turquand rule is lost.

indoor-managementturquand-ruleexceptionsuspicious-circumstancesindian-law
Court
Oudh Chief Court
Year
1946
Subjects
Company Law
Reviewed
2026-06-30

Rule established

The Turquand rule does not protect a person who has knowledge of the irregularity or where circumstances are suspicious enough to put a reasonable person on inquiry

Facts

    Issues

      Held

        Ratio decidendi

        How to use it in an exam

        Editorial source

        All India Reporter

        Educational summary only. Read the reported judgment or an authorised law report before relying on the case professionally.