Partnership act

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Nishant Kumar (Querist)
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26 March 2018 Section 31 of the Indian Partnership Act, 1932 states that a person may be admitted as a partner either with the consent of all the existing partners or in accordance with an express agreement among the partners.

What is meant by "express agreement"? Please explain the difference between "consent of all existing partners" and "express agreement among partners".

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Guest

Guest (Expert)

26 March 2018 If a contract between the partners permits the introduction of a new partner even without the consent of all the existing partners that can possibly be done. For example, the contract provides the majority of the partners shall be competent to admit a new partner or anyone of them may nominate a partner or appoint his successor, a new partner could be introduced accordingly. In such cases, even if some of the partners are unwilling to the introduction of some particular person, they will be bound by their contract and the introduction will be valid.
For example, A, B, C and D were four partners and they, in their partnership deed, authorized A to admit his son, S into partnership when S had attained the age of twenty one years.

Source: http://law.uok.edu.in/Files/5ce6c765-c013-446c-b6ac-b9de496f8751/Custom/INCOMING_AND_OUTGOING_PARTNERS.pdf

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