2nd lecture hand out

1. General partnership: is a
partnership where the liabilities
of all the partners are unlimited.
Particular partnership: is a
partnership made for particular
project or for a specific time of
period.
Partnership at will: is a
partnership formed for unlimited
time period.
Objective
To Lean
1. Typology of partnership
2. Characteristics of partnership
Characteristics
Agreement
It is the outcome of an agreement and that may be oral or in written.
Legal entity
It is not a legal person immaterial whether the partnership is registered or not.
Number of partner
At least two people are required to form a partnership and maximum limit is 20.
Business
It is made for business only.
Mutual agency
Every partner will be the agent of other partners means there will be mutual agency.
Sharing of profit
The agreement must be for the sharing of profit.
Liabilities
Liabilities of all partners are unlimited and they are individually and collectively
responsible to third party.
Capital
The investment will be made by all partners according to the agreement but the skill,
education or experience etc. of any partner may be accepted as an investment /capital.
Duration
The partnership will stand dissolved if any partner retires .dies or becomes insolvent and
the form will not dissolve if other partner wants to continue.
Transfer of interest
Without the consent of other partner interest cannot be transferred to outsider.
Limited partnership: is a partnership where at least one of
the partner has unlimited liability and one or more partners
have limited liability.
Subject: Law of business organisation
Standard: LL.B 6th semester
Topic: characteristics of partnership
MUNIR HUSSAIN KTK
Lecturer
UNIVERSITY LAW COLLEGE
QUETTA
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