According to the Indian Partnership Act, 1932: “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.” Furthermore, the Act specifies that individuals who form partnerships are individually called “partners” and collectively “firms”. 1. Existence of an agreement:…
Tag: partnership registration
Non-registration of a Partnership Firm’s Effects
The Partnership Act, unlike the Company Act, 2013 does not mandate partnership firms to register. Even if a partnership does not register, it would still remain legal under the law. In the case of private companies, registration of a firm is considered to establish the firm. However, partnership firms are not exempt from registration. A…