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Partnership act

Corporate & Other Laws

Mahesh, Suresh and Dinesh are partners in a trading firm. Mahesh, without the knowledge or consent of Suresh and Dinesh borrows himself Rs. 50,000 from Ramesh, a customer of the firm, in the name of the firm. Mahesh, then buys some goods for his personal use with that borrowed money. Can Mr. Ramesh hold Mr. Suresh & Mr. Dinesh liable for the loan? Explain the relevant provisions of the Indian Partnership Act,1932. . . Please explain with reason

Lucky Garg

CA Foundation

★ 2K+

24-Apr-20 14:01

1K+

Answers (5)

The firm is liable to Mr.Ramesh for mahesh's act. REASON : liability of partners is JOINT & SEVERAL i.e., the firm is liable for wrongful acts of a partner and partner is liable for misconduct of the firm.