New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which of the following is true about a Minor's

    liability in a partnership firm?
    A Minor shall be personally liable for all acts of the firm. Correct Answer Incorrect Answer
    B Minor shall not be liable personally nor his shares will be liable for acts of firm. Correct Answer Incorrect Answer
    C Minor shall not be liable personally, but his share shall be liable for acts of the firm. Correct Answer Incorrect Answer
    D Minor shall not liable after majority also. Correct Answer Incorrect Answer
    E Minor shall not be liable for acts of firm done before his attaining majority. Correct Answer Incorrect Answer

    Solution

    As per S. 30 30. Minors admitted to the benefits of partnership.— (1) A person who is a minor according to the law to which he is subject may not be a partner in a firm, but, with the consent of all the partners for the time being, he may be admitted to the benefits of partnership. (2) Such minor has a right to such share of the property and of the profits of the firm as may be agreed upon, and he may have access to and inspect and copy any of the accounts of the firm.   (3) Such minor’s share is liable for the acts of the firm, but the minor is not personally liable for any such act.

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