Partnership Act Section 12: Resolving Ordinary Business Differences
Section 12 of the Partnership Act addresses how disagreements concerning the day-to-day operations of a partnership are handled.
According to this section, any difference arising in connection with the ordinary business of the partnership can be decided by:
- A majority of the partners.
This means that for routine business matters, a decision supported by more than half of the partners is binding, even if some partners disagree.
The option "a majority of partners" correctly reflects the provision in Section 12 for deciding differences on ordinary matters.
Important Questions from Partnership Act, 1932
- Which of the following provision of the Partnership Act explains the evidentiary value of entries in the Register of Firms?
- Which of the following is correct?
The important provision affecting partnership accounting, in the absence of a partnership deed is: - Atul, Bharat, and Chetan enter into a partnership. Atul invests $₹25,000$ for 6 months, Bharat invests $₹30,000$ for 8 months, and Chetan invests $₹40,000$ for 9 months. If the total profit is $₹37,000$, what is Chetan's share of the profit?
As per Section 45 of the Indian Partnership Act, 1932, notwithstanding the dissolution of a firm, the partners continue to be liable as such to third parties for any act done by any of them which would have been an act of the firm if done before the dissolution, until:
As per Section 6 of the Indian Partnership Act, 1932, in determining whether a group of persons is or is not a firm, regard shall be had to which of the following?
