Partnership deed act 1932

Save Share

This query is : Resolved

Quick Summary

If a partner dies, the partnership deed's clauses regarding this event should be followed. If no specific clause exists and there are multiple partners, the deed can be reconstituted on stamp paper. This reconstitution, along with the partner's death, must then be reported to the Registrar of Firms (Inspector General of Registration) using the prescribed electronic form and fee, which vary by state.

muskan singhania

muskan singhania (Querist)

25 June 2020 I have a query about detailed procedure of reconstitution of the partnership firm after the death of a partner

Lekhraj sood

Lekhraj sood (Expert)

25 June 2020 You have to intimate jurisdictional Registrar of Firms about this fact in the prescribed form.Based on this the Registrar will note the changes in the Register of Firms.That should be enough compliance.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

25 June 2020 1. If there is any specific clause in the partnership deed about the course of action to be taken in case death of a partner, do accordingly.

2. Generally, if there are more than two partners in the partnership, upon death of any one, the deed can be reconstituted in a stamp paper of requisite value.

3. Then the death and reconstitution should be informed to the Registrar of Firms (now Inspector General of Registration) in the prescribed form with a fee payment.

Ps:- i) Value of stamp paper varies from state to state for which see the Stamp Act of the state in which the partnership is formed/ executed.
ii) Information to the Registrar of firms should be done electronically ,in most of the states, and the form and fee also is not same in all the states.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now