When a partner dies, subject to any contract to the contrary, partnership is dissolved. Section 42 of the Indian Partnership Act, 1932 (“Act”) provides for dissolution of partnership on occurrence of certain contingencies which includes ‘death of the partner’ as one of those contingencies. However, in cases where the terms of the partnership deed are silent on continuation of partnership’s business, a contract to continue the partnership after the death of a partner may be implied from the conduct of the parties. This means that where it is evident that such an intention was present, the nominee or legal representative of the deceased partner can take the place of deceased partner and business of the firm can be continued with the presumption that the partnership was never dissolved on the death of that partner. The above legal position is based on two assumptions- (a) there are more than two partners in the firm, and (b) the legal representatives are interested in taking forward the business of the firm.
Which of the following statements about mutual funds is/are accurate?
1. Open-ended mutual funds allow investors to buy and sell units at any tim...
What was the theme chosen for the celebration of National Tourism Day 2024, observed every year on January 25th?
How does the purchase of a new machinery to expand production capacity affect the working capital of a company ABC Limited?
Who chaired the committee to examine the aspects of the digital public infrastructure for the Digital Payments Intelligence Platform?
According to the RBI's circular on unclaimed deposits, which section of the Banking Regulation Act, 1949 gives the RBI authority to issue instructions o...
Which of the following would be considered a 'cash-flow item from an "investing" activity'?
Which type of reserves are not to be included for the calculation of Capital for Capital adequacy norms?
Which of the following Statements regarding the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PM-JAY) is not True?
Saurabh is a project manager on an industrial design project. He set up a reward system, but he was surprised to find out that the team is actually les...
What type of insurance will apply if a family member has broken his/her leg in an accident while on vacation in Singapore?