Referring the Judgement of  Apex Court in Sree Meenakshi Mills Ltd v CIT ( 1957) 31 ITR 28 (SC) and  CIT v.Biju Patnaik ( 1986) 160 ITR 674 (SC) , quoted in the judgement :

“ (i) When the point for consideration was a pure question of law such as construction of a statute or document of title , the decision of the Tribunal  was open for reference to the Court .

(ii) When the point for determination was a mixed question of law and fact , while the finding of the Tribunal on the facts found was final , its decision as to legal effect of those findings was a question of law , which could be reviewed by the court.

(iii) A finding on a question of fact was open to attack under reference under the relevant Act as erroneous in law when there was no evidence to support it or if it was perverse .

(iv) When the finding was one of fact , the fact that it is itself an inference from other basic facts will not alter its character as one of the fact .”

Following the judgements of Apex Court the Court held that ,interpretation of document is question of law accordingly the amount received by assessee under non-compete agreement constitute capital receipt . ( AY. 1998-99 , 1999-2000)