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CMA Intermediate · Business Laws and Ethics · Indian Partnership Act, 1932

Under Section 43 of the Indian Partnership Act, 1932, which statement about dissolution of a partnership at will by notice is correct?

Where the partnership is at will, any partner can dissolve the firm by giving written notice to all the other partners of his intention to dissolve it. No majority consent, Registrar approval or particular profit share is needed under Section 43.

  1. AAny partner may dissolve the firm by written notice to all the other partnersCorrect
  2. BDissolution needs the consent of a majority of the partners
  3. CNotice must be given to the Registrar of Firms before the firm is dissolved
  4. DOnly a partner holding the largest share can give the notice

Explanation

Section 43(1) allows any partner to dissolve a partnership at will by giving written notice to all the other partners of his intention to dissolve. No majority consent is required and the notice goes to the partners, not the Registrar. Share size is irrelevant.

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