Do I need to change partnership deed?

113 views 2 replies
User Avatar

1 Points Joined March 2025

There are 4 partners in partnership firm. 1 is individual and other 3 are seperate kartas of their HUF.

Now one of the karta was died. His son is now a new karta.

Is it required to change partnership deed ?

0 Reply Share Follow
On 28 March 2025 at 16:51 Report
Replies (2)
User Avatar

Master in Accounts & high court Advocate
9025 Points Joined December 2011

In the event of the demise of one of the Karta partners, the partnership deed may need to be revised to reflect the change in the HUF's representation.

Legal Implications: - *HUF Representation*: As the new Karta, the son now represents the HUF in the partnership. This change in representation may require updates to the partnership deed. -

*Partnership Deed*: The partnership deed serves as a contractual agreement between the partners. Revising the deed to reflect the change in Karta ensures that the partnership's legal framework accurately represents the current partnership structure.

Necessary Steps: - *Obtain a Succession Certificate*: The son, as the new Karta, should obtain a succession certificate to establish his authority to represent the HUF. -

*Update Partnership Deed*: The partnership deed should be revised to replace the deceased Karta's name with the new Karta's name, ensuring that the partnership's legal framework accurately reflects the current partnership structure. -

*Execute a Supplementary Deed*: The partners can execute a supplementary deed to the original partnership deed, outlining the changes and updates resulting from the change in Karta.

 

Reply
On 28 March 2025 at 17:33
User Avatar

Fellow CA
86871 Points Joined June 2009

as such you may not amend the deed as long as the HUF continues to exist. The karta is only there in his representative capacity. 

Reply
On 30 March 2025 at 09:20


CCI Pro

Leave a Reply

Post Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Recent Threads

More recent discussions | Post

Related Threads
Loading