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Nyaya Vidhiन्याय विधि · Indian Law, Lucid
Enacted 1932Company Formation & GovernanceBrief

The Indian Partnership Act, 1932

Defines partnership, mutual rights and duties, registration, dissolution, and the consequences of an unregistered firm.

Sections
74
Chapters
8
Tier
Tier 1

In one line

What this Act says

Governs traditional partnerships — what makes one, what the partners owe each other, and what happens on dissolution.

Penalties

What happens if you break it

  • Suing on behalf of an unregistered firm

    §69

    Suit barred — partner cannot enforce contractual rights against third parties or the firm.

  • Partner using firm property for personal benefit

    §16

    Must account to the firm for the benefit (civil remedy).

  • Partner competing with the firm in similar business

    §16(b)

    Must account for and pay over all profits to the firm.

Headline offences only — not exhaustive. For the full text and every section, open the source PDF or the official link below.

Key Sections & Penalties

Partnership Act at a Glance

SectionTypeProvisionApplicabilityDetails / Penalty
§4definition
Definition of partnership, partner, firm and firm name
-Administrative / Structural
§9structural
General duties of partners
-Administrative / Structural
§13right
Mutual rights and liabilities
-Administrative / Structural
§30structural
Minors admitted to the benefits of partnership
-Administrative / Structural
§58procedural
Application for registration
-Administrative / Structural

Maximum punishments as prescribed by the Act. Actual sentencing depends on facts, prior convictions and judicial discretion.

Sources

Read the Act yourself

We always show you the local source PDF and at least one verifiable online reference, so you can check anything we say.

Also see: India Code

About this Act

Quick facts

Year
1932
Sections
74
Chapters
8
Tier
Tier 1
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