Until the middle of the last century courts were dealing with problems and disputes among business partners in accordance with prevalent customs of the country. However, with passage of time the law relating to partnership was contained in Chapter XI consisting of sections 239 to 266 of the Indian Contract Act,1872. Section 4 of the Indian Partnership Act,1932 defines partnership as the relation between persons who have agreed to share the profits of a business carried on by all or any them acting for all. [1]
A partnership between two people is when they run a business together with the intention of sharing the profits amongst themselves. However, there can be various types of partnerships according to their duration or the intent of their creation. Let us take a look at the kinds of partnerships like a general partnership, partnership at will etc.
In this article, Team YLCC brings you the Top 50 Interview Questions on Indian Partnership Act 1932. Read on!
- What do you mean by Partnership at will?
- Define a Partnership firm.
- What are restrictions on Transfer of Share?
- Can you define Principal – Agent relationship in a partnership?
- What are the duties of the partner?
- Can a minor be a partner?
- What do you mean by dissolution of a firm?
- State reasons for dissolution of a firm.
- What do you mean by partnership deed?
- What is meant by ‘implied authority’ of the partner as the agent of a firm?
- What is the relation between the firm and the partners?
- Define ‘FIRM NAME’.
- What is Competence to enter into a contract?
- What is minimum and maximum number set for the partners in a partnership?
- State Unlimited liability.
- What is Joint ownership?
- Define Particular Partnership and state the section which talks about it.
- What is called as Partnership Deed?
- Sharing of profits is the truest test of a partnership. Give reason whether its true or false.
- Rahul, Aman and Pankaj are partners in a travel company. Pankaj retires after selling his share in the partnership firm. However, Rahul and Aman fail to pay the agreed value of share to Pankaj. Can Pankaj recover the amount from the two?
- A minor will automatically become a legit full-time partner on attaining the age of majority i.e., 18. True or False? State with a reason.
- Raghav and Hiya started a partnership firm for Rs.1 lakh and Rs. 60,000 each. Raghav wants interest on his capital as he has contributed more. Can he or can he not ask for such interest?
- Pawan Chemicals is a firm in the business of trading a particular chemical. A new law bans the trading of that particular chemical. What happens to Pawan Chemicals?
- Malak, Vasu, and Rohit are partners in MVR & Co. – a partnership firm. Malak and Vasu know that Rohit has been keeping erroneous accounts for many months. He has also not heeded to their requests of entering receipts in time. Can they file a case against Rohit? Also, what stand can court take?
- Who is an outgoing partner?
- What do you mean by General Partnership?
- Who is an Incoming Partner?
- Define a Partner in Profits only.
- Which of the Section of the Partnership Act bestows every partner with the authority of an agent?
- The doctrine of holding out is mentioned in which Section of Partnership Act.
- Section 14 of Indian Partnership Act talks about.
- Name of the historic case laying down the test for determining the existence of the Partnership?
- What is considered to be the most important gesture of Partnership at Will?
- What all is included under Section 2B of the Indian Partnership Act?.
- When did the Indian Partnership Act come into force?
- Agreement in a partnership is for?
- When can the partnership be dissolved by agreement?
- What can be considered as the object of the partnership?
- Before 1932 under which law provision of the Partnership Act was made?
- What is the consequence of non-registration of a partnership firm?
- When a partnership firm cannot be dissolved compulsorily?
- Parth and Kunal run a partnership business. On December 1, 2020, Kunal borrowed Rs. 53,000 from Archit in the firm’s name. Archit wasn’t aware of the dissolution. Is Parth also liable for the amount borrowed by Kunal?
- Naman is a partner in a firm of solicitors. He borrows Rs. 40,000 from Palak and executes a promissory note in the name of the firm without any authority? Are others liable?
- Define Partner by Estoppel.
- How is a new partner admitted into the partnership?
- What are the rights and liabilities of the new partner?
- What are the three categories required for expulsion of a partner?
- If a partner chooses to use any assets of the partnership firm for her own use it gives rise to which liability?
- The mode of determining the existence of a partnership has been laid down in which Section?
- In which of the cases a partner might case a partner might cease to be a partner without the dissolution of the firm?
[1] Indian Partnership Act, 1932 Bare Act
YLCC would like to thank Ashlesha Singhal for her valuable insights in this article.
