CONTRACTS READING MATERIAL
TOPIC- Registration and Dissolution Of Partnership
Dissolution of Partnership: when there is a change in the relations of partners and the
firm continues as a new firm, then it is called dissolution of the partnership or
reconstitution of the firm.
Reconstitution of the firm may take place in various ways:
By admission By death of a By transfer of
By retirement By expulsion By insolvency
of a new partner a partner’s
of a partner of a partner of a partner
partner (section: 35 share (section:
(section: 32), (section: 33), (section: 34),
(section: 31), and 42) and 29).
Dissolution of firm: Dissolution of a firm means the end of a firm by the breakup of
the relation of partnership between all the partners.
A firm may be dissolved on any of the following grounds:
On the
happening of Compulsory Dissolution by
By agreement By notice
certain dissolution the court
(section: 40), (section: 43),
contingencies (section: 41) (section: 44).
(section: 42),
Consequences of dissolution of a partnership firm
return of contract
personal settlement paying firm
liability for premium rescinded debts and wind up the
profit after sale of of
acts after on for fraud or seperate business
the goodwill partnership post
dissolution premature misreprese accounts debts
dissolution Sec. 55 dissolution
Sec. 45 dissolution -ntation Sec. 48
Sec. 50 Sec. 49
Sec 51 Sec52
Registration of partnership firm
Particulars to be given while giving application for registration (Sec 58) :
Principal place Branches of
Firm name
of business the firm
Date at which Date at which
Duration of the the partners
the partners
firm
joined joined
Effects of non-registration(Sec.69)
Partner cannot
Partner cannot Firm cannot sue
sue a partner of
sue the firm a third party
firm
Types of partner in a partnership firm.
a. Actual partner
b. Partner by holding out,
c. Dormant or sleeping partner,
d. Partners in profit only,
e. Sub partner,
f. Incoming partner,
g. Retired or outgoing partner and
h. Nominal partner.
REGISTRATION PROCESS IN MADHYA PRADESH
11: Upon 20: The user need to 21: Fill the details
10: Click on
1: The citizen must submission, the select “Firm and save the
“Submit” to save
visit the MP online application number Application” to document and pay
your details after
portal. will be generated for proceed with the portal fee for
filing the form.
further reference. payment. registration.
2: Click on “Citizen 19: Click on
9: Now, attach the 12: Click on
Service” menu & “Unpaid
scanned documents “Proceed to pay for
select “Application” application” which is
along with the registration fee” for
option displayed on below track
application form. the payment of fees.
the home page. application menu.
3: On the next page 8: The application 13: The user needs
the applicant needs form will open , the to select “Firms and 18: The user has to
to click on “Firms applicant has to fill Societies” from the login again into the
And Society” from the required details list of the portal.
the list of services. in the form. department.
17: Now the
4: Then the applicant
7: Click on “Apply 14: Fill the required application ID,
has to create “New
for firm registration” details and submit Transaction ID,
User Login” for
option. the application form. Challan Reference
registration.
ID will be generated.
5: Click on “New 6: The registration 16. Fill the required
15: On submission,
User” button, and form will open up, details and pay their
the user will be
then the form will the applicant has to amount at the
redirected to the
open up on the fill details and click selected bank’s
banking website.
screen. “Register”. payment portal.
This study Material is collected and compiled by:
1. Sahaj Choudhary
2. Richa Dixit
3. Rachit Gupta
Under the guidance of Mr. Utkarsh Kumar Mishra, Asst. Professor of law,
Dharmashastra National Law University, Jabalpur.
SELF ASSESMENT
A and B were partners in a partnership firm, which provided that the
partnership should be terminated by mutual agreement. Now, can A terminate
the partnership by giving notice to B?
A and B have a partnership firm in the trade name of Wasseypur. They open a
branch in the name of Mirzapur. Can the latter be considered as the branch of
Wasseypur?
A, B and C are partners in a partnership agreement. C, for the purpose of
meeting financial requirement provided a certain amount other than capital
contribution. Now, he is claiming 10% of interest on it. Can he be entitled for
it?
A and B be are in an unregistered partnership firm. B applies for dissolution in
the partnership. Can he succeed in his claim?
A, B and C are in partnership firm. Suddenly, B dies. What may be the course
of action?
A and B carried on business as partners. After sometime the relation between
them became so strained that neither would speak to the other. Communications
having to be conveyed between them through the accounts clerk. The firm had
made and continue to make large profits. Can the court order its dissolution ?
