The Indian Partnership Act, 1932 was enacted in India in 1932.

Provisions

Under section 44(d) of the act, a suit can be filed against the managing partner for dissolution of the

partnership A partnership is an agreement where parties agree to cooperate to advance their mutual interests. The partners in a partnership may be individuals, businesses, interest-based organizations, schools, governments or combinations. Organizations ...

firm. Section.4 of the Indian Partnership Act, 1932 defines Partnership in the following terms:

" Partnership is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all."

"Section 464 of the

Companies Act, 2013 The Companies Act 2013 (No. 18 of 2013) is an Act of the Parliament of India which forms the primary source of Indian company law. It received presidential assent on 29 August 2013, and largely superseded the Companies Act 1956. The Act was ...

empowers the Central Government to prescribe maximum number of partners in a firm but the number of partners so prescribed cannot be more than 50.The Central Government has prescribed maximum number of partners in a firm to be 50 vide Rule 10 of the Companies (Miscellaneous) Rules,2014.Thus, in effect, a partnership firm cannot have more than 50 members". General duties of Partners The Partners shall run the business of the firm to the highest level of common advantage by being true to each other. They have to be accountable to one another and provide complete information of all the aspects of the firm, to any other partner or their legal representatives. Duty of indemnification Each partner shall

indemnify In contract law, an indemnity is a contractual obligation of one party (the ''indemnitor'') to compensate the loss incurred by another party (the ''indemnitee'') due to the relevant acts of the indemnitor or any other party. The duty to indemni ...

the firm for any loss that occurred due to fraud, in the conduct of the

business Business is the practice of making one's living or making money by producing or Trade, buying and selling Product (business), products (such as goods and Service (economics), services). It is also "any activity or enterprise entered into for ...

References

Indian partnership act 1956 {{DEFAULTSORT:Partnership Act, 1932, The Indian Acts of the Imperial Legislative Council Partnerships Legislation in British India Indian business law 1932 in Indian law