Understanding Partner Implied Authority Scope
Implied authority allows a partner to perform acts reasonably necessary or customary for carrying on the partnership's business. These acts bind the firm.
Acts Within Implied Authority
- Option 1: An act done to conduct the specific type of business the firm engages in falls under implied authority.
- Option 2: Performing actions in the standard, usual manner for the firm's business operations is part of implied authority.
- Option 4: Acting in the firm's name or in a way that clearly indicates the intention to legally bind the partnership is crucial for implied authority.
Act Outside Implied Authority
Option 3: The act of acquiring immovable property (like land or buildings) on behalf of the firm is generally considered an extraordinary act. It typically requires express authorization from all partners, not just implied authority, as it involves significant commitment and is not usually part of the 'usual way' of conducting business.
Therefore, acquiring immovable property is not within the scope of a partner's implied authority.
Important Questions from Indian Partnership Act, 1932
Match List I with List II
List I
List II
A.
Limited Liability Partnership
I.
It can be formed with a minimum of
two individuals or body corporate
through their nomineesB.
Particular Partnership
II.
It is formed for a specific venture or
for a particular period.C.
Partnership
III.
It is an association of two or more
Individuals.D.
Mutual Agency
IV.
A partner is both an agent and a
principal in a partnership firm.Choose the correct answer from the options given below:
Which of the following are false?
A. Partners are not bound to carry on the business of the firm to the greatest common advantage
B. Where a partner is entitled to interest on capital subscribed by him, such interest shall be payable whether or not there are profits
C. An outgoing partner has a right to claim a share in the profits of the firm till his account is finally settled
D. A partner may be expelled from the firm only with the consent of all other partners
Choose the correct answer from the options given below:
Which one of the following statements is True' in partnership?
- As per Section 206 AA in Income tax Act, 1961, if PAN (Permanent Account Number) is not provided, the rate of TDS would be __________.
- Match List - I with List - II and select the correct answer using the code given below :
List - I List - II (a) Mutual Rights and Liabilities of Partners (i) Section 34 of Partnership Act (b) Dissolution of Partnership (ii) Section 13 of Partnership Act (c) Retirement of a Partner (iii) Section 39 of Partnership Act (d) Insolvency of a Partner (iv) Section 32 of Partnership Act
Code : (a) (b) (c) (d)
