Duty of Partner to Give Accounts Essay Example | Topics and Well Written Essays - 1000 words

Duty of Partner to Give Accounts - Essay Example In the context of the partnership agreement, the roles, responsibilities, and liabilities of partners need to be discussed. According to Sec 9 of the Partnership Act of 1963, it states that except for an incorporated limited partnership, a partner of a particular firm is considered as the agent of the firm along with the other partners present in the firm, for the reason of the business of the firm1. It also, declares that apart from an, incorporated limited partnership, an act carried out by a partner of a firm, for the reason of cont,inning in the customary method business of the type continued by the firm, connects that particular firm and remaining of the partners in the particular firm unless the partner who conducts the act has no right to act in any way for the particular firm in the specific matter and the person involved in the dealings with that particular partner either is well aware that the person is not authorized or is unknown about the factor does not consider the par ticular partner to be the firm’s partner4. According to Sec 10 of the Partnership Act of 1963 it states that a certain act or any particular instrument in relation to the nature of business of the firm apart from an incorporated limited partnership is obligatory on all the existing partners of the particular firm and also on the firm too if it is carried out by any person who has the authorization to conduct such an actor perform the instrument irrespective of the fact that whether the person is a partner of the firm or not, in firm’s name or in any such way or intention where it involves the firm4. The liability of a partner according to Sec 13 of the Partnership Act of 1963 declares that every individual partner of any particular firm except for an incorporated limited supported partnership is equally accountable along with the other partners for the duties and legal responsibilities of that particular firm which was obtained when the particular person was still an e xisting partner as per the partnership agreement which proves it to be legal and also in case of the partner is an individual, after the demise of that partner the assets of the deceased partner would be liable in the course of management for the liabilities and obligations of that firm which was acquired while the already dead partner was still a partner that stays discontented, but subject to the previous payment of the individual debts of the deceased partner4. The most important duty of a partner that needs to be mentioned in relation to this case is according to Sec 33 (1) A particular partner of a firm apart from an incorporated limited partnership is responsible for giving accurate accounts and complete information regarding all the things that might affect the firm to the other partners or partner or to the legal personal spokesperson of the other partner4.