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CS Professional · CSR and Social Governance · Partnership Firms

Nisha, Omar and Pooja are partners at will. Pooja gives proper written notice to both partners on 5 April stating the firm shall stand dissolved from 20 April. Both partners receive it on 6 April. From which date is the firm dissolved?

The firm is dissolved on 20 April. Section 43(2) provides that dissolution takes effect from the date mentioned in the notice, and the date of communication applies only when no date is mentioned. Acceptance by the other partners is not required.

  1. A5 April, the date of the notice
  2. B6 April, the date of communication
  3. C20 April, the date mentioned in the noticeCorrect
  4. DThe date the partners accept the notice

Explanation

Section 43(2) says the firm is dissolved from the date mentioned in the notice, or from the date of communication only if no date is mentioned. A date, 20 April, is mentioned. Hence 6 April is the key wrong choice, and acceptance is irrelevant.

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