Page 148 - DMGT102_MERCANTILE_LAWS_I

Mercantile Laws-I Ginni Nijhawan, Lovely Professional University

Notes Unit 11: Types of Partners

CONTENTS

Objectives
Introduction
11.1 Changes in a Firm
11.1.1 Rights and Liabilities of Incoming Partners
11.1.2 Rights and Liabilities of a Retired Partner

11.1.3 Expulsion of a Partner
11.1.4 Insolvency of a Partner
11.1.5 Death of a Partner
11.1.6 Transfer of Partner’s Interest

11.2 Types of Partners
11.3 Dissolution
11.3.1 Dissolution of Firm and Dissolution of Partnership
11.3.2 Dissolution of Firm
11.3.3 Dissolution by Court (Sec.44)

11.4 Overview of the Limited Liability Partnership Act, 2008
11.5 Summary
11.6 Keywords
11.7 Self Assessment

11.8 Review Questions
11.9 Further Readings

Objectives

After studying this unit, you will be able to:
z Discuss different types of partners
z Describe dissolution and types
z Discuss the Limited Liability Partnership Act, 2008

Introduction

In last unit you have studied about partnership. The choice will depend upon the considerations
such as the type of the product, capital requirements, government control, legal requirements,
competitive conditions in the chosen industry, and level of taxation, ownership privileges and
the like.

A partnership is defined as “the relationship between persons who have agreed to share profi ts
of a business carried on by all, or by any of them acting for all”. On analysis of the defi nition,
certain essential elements of partnership emerge.

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