| what is ADMISSION of partnership? | a person can be admitted in the already existing firm only, with the consent of al the partner. he will not be held liable for any act done by the firm before his joining. 3 party will never held him liable because there is no privity between them. a minor who opt to become a partner will be held liable for all the act done by the firm since his admission as benificary. |
| what is RETIREMENT of partnership? | MODE= by giving public notice, with partner's consent. or in accordance of expressed agreement.
LIABILITY= discharge for all the act done after his retirement. will be liable to 3 party until the time he give public notice. 6% interest |
| EXPULSIVE
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[most imp] | no partner can be expelled from the firm expect for good faith.
the power must have existed in contract,. such power ne exercised by majority of partners. in good faith.
what constitutes goof faith? to protect the intt of firm. opportunity of being heard. served with a notice to expelled partner.
expelled void then right of expelled partner? =claim reinstatement. refund of his share
even expelled partner has to give public notice. |
| what is death? | no public notice is required to be given at the death. normally firm get dissolved after the death of the partner. but if decided by the remaining partner to continue. then the estate of deceased partner will be liable for the act done before his death. and will not be held liable for any act done after his death. |
| what is DISSOLUTION? | dissolution refers to putting an end to a mutual relationship between the partners. |
| mode of dissolution? | 2 types of mode
1. by order of the court.
2. other mode. |
| by order of court? | 1. partner's insanity
2. permanent incapability
3.misconduct of partners
4. breach of agreement.
5. transfer of interest by partner.
6. heavy losses of firm.
7. just and equitable grounds |
| other mode of dissolution?
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.IMPORTANT. | mutual agreement. section 40
compulsory dissolution. section 41
certain event happening. section 42
notice for a partnership at will. section 43 |
