Partnership Act

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Is there any provision in the partnership act to amend a deed for admitting of a new partner as a "Nominal Partner" for a particular division.?

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I think there is no provision regarding admitting a partner as nominal partner but in Partnership deed it can be included as a clause and it will be legal to admit a partner for a particular division as nominal partner.

Though nominal partner neither contributes capital nor takes active part in the management of business is liable for the debts of the firm.

The terms among the partners are contractual. The provisions of the Partnership Act is silent about admission of a nominal partner / partner for a 'particular division'. In such a case the partners may include relevant clause(s) in their amended / supplementary deed of partnership to give effect to the nominal partnership of new partner for a particular division. However, such a nominal partner is liable jointly and severally for the acts of other partners or all partners together.


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