CorporateAct No. 9 of 1932In Force

The Indian Partnership Act, 1932

Governs the formation, rights, obligations, and dissolution of partnerships in India. A partnership is defined as a relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all. It remains the foundational law for unregistered and registered general partnerships, though LLPs have largely replaced traditional partnerships for professional purposes.

Sections

Ministry

Ministry of Corporate Affairs

Last Amended

2012-01-01

Key Provisions

→Definition and essential elements of partnership

→Registration of firms and effect of non-registration

→Rights and duties of partners inter se

→Authority of partners to bind the firm

→Implied and express authority — trading and non-trading firms

→Admission, retirement, and expulsion of partners

→Dissolution of firm by agreement, court order, or insolvency

→Settlement of accounts on dissolution

Related Practice Areas

corporate-advisory startup-legal

partnershippartnership firmpartnersdissolutionprofit sharinggeneral partnership

Section-by-Section Reference

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Indian government legislation is in the public domain under S.52(1)(q) of the Copyright Act, 1957. This reference is for educational purposes. Laws are amended frequently — verify the current text on the e-Gazette of India before relying on it for legal proceedings.