| how many types of partnership is there? name them ? | 3 types
1. partnership at will
2. partnership for fixed time.
3. particular patnership |
| how many kind of partnership are there? | 9 types
1 actual /active partnership
2. nominal partner.
3. sleeping/dormant partner.
4. partner in profit only
5. sub partner.
6. incoming partner
7. outgoing partner |
| actual partner? nominal partner? | ACTUAL partner take active participant in all activity and need to give public notice at the time of retirement
NOMINAL partner is partner by name only. Do not contribute capital and not entitled to the share of profit held liable for all the act of firm |
| sleeping partner ?
partner in profit only ? | SLEEPING partner contribute capital, share in profit. liable for all the act. no active participation. no need to give public notice
PARTNER IN PROFIT only entitled to earn profit not losses. if firm incur losses partner become insolvent then such partner will be held liable by 3 party |
| sub partner?
incoming partner? | SUB PARTNER when 1 partner agrees to share his profit with outsider then outsider is know as sub partner. sub partner has no right, no relation, no connection.
INCOMING PARTNER is a partner who is admitting in already existing free and will be held liable for future act of firm |
| out going partner RIGHTS | to receive his share of property and profit. can carry on similar business. cannot solicit the customer. cannot use firm name. in absences of any contact. he is entitle for 6% on his share in property. entitle to share of profit . |
| out going partner LIABILITES | not liable for any act done by firm after his leaving. liable to 3 party for= 1. all act done till the public notice is given. any transaction that has began but is left unfinished
not liable for any act for which he is discharged by 3 party. |
| minor | 1. cannot entre into a contract. but can be benificary to contract.
2. before his admission their shld be an existencing firm
3. all partner shld agree to add minor in partnership
4. at least 2 major partner. before admitting minor. |
| RIGHTS of MINOR | 1. share in profit and property.
2. to have access to the accounts. but cannot inspect books other then accounts
3. when he severe himself from the firm then only he van file a suit again them.
4. after attaing majority a]can opt to become a partner. |
| LIABLITIES of MINORS | 1. not personal liable nor his private estates is liable.
2. cannot declared insolvent. but if firm become insolvent then his share are transfer to officer assignee.
3. after 6 month of atainig majority need to give public notice. if not given then he will automatically be declared as partner. |
| exercise option. more points related to minor? | if become partner= become personally liable to 3 party . share of profit and property remain the same.
if not become a partner = can file a sue for his share of profit and property in firm if not given to him. not liable for any act. |
| rights of the partner. | Take part in business. Access to books. Remuneration. Equal share of profits. intt on capital. Intt on advances. Use property of firms. Agent of the firm. Bind the firm. Emergency. Retirement. To share subsequent profit. Not to be expelled. |
| Duties? types? define them ? | 2 types of duties.
1. absolute duties= duties which are imposed by law.
2. qualified duties = which are imposed by the agreement between partners. |
| types of absolute duties? | 1. duty to act in good faith.
2.duty to carry on the business of the firm in the greatest common advantage.
3. duty to render true accounts.
4. duty to give full information.
5. DUTY TO INDEMNIFY FOR THE LOSS CAUSED BY FRAUD.
6. duty not to transfer rights and interest. |
| qualified duties? | 1.duty to account for personal profits
2.duty to attend his duties diligently.
3. duty to account profit in the competing business.
4. duty to use firm property exclusively for the firm.
5. duty to share loss equally.
6. duty to indemnify for will full neglect. |
| implied authority ? | 1. in the firm names= act done in the firm name. intentially bnding the firm
2. normal business= must relate to normal business of the firms. if not in the normal business of the firm then the firm will not be bind.
3. usual way of carrying business= act shle be in usual way of business that is nature of the business and usage of the trade.
4. partners authority in an emergency. |
| 3 party shld be intimate about the change of the authority? | restriction or extension of implied authority |
| liabilities of partner? | 1.to contribute to losses equally.
2. to surrender personal profit.
3. joint and several liable.
4. to indemnify the firm.
5. liabilities toward third parties.
6. rights and liabilities after change in firm. |
