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    Question

    Under the Indian Partnership Act, 1932, which type of

    partner has no right to take part in the conduct of the business? 
    A Active Partner Correct Answer Incorrect Answer
    B Sleeping Partner Correct Answer Incorrect Answer
    C Nominal Partner Correct Answer Incorrect Answer
    D Partner by Estoppel Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    A Nominal Partner is one who lends their name to the firm but does not take any active part in the conduct of the business. Such a partner is liable to third parties but has no real authority or participation in managerial decisions. Contrast this with a Sleeping Partner who also does not take part in management but has invested capital and shares profits/losses. Other types like Active Partner, or Partner by Estoppel have different roles and duties.

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