CMA Intermediate · Business Laws and Ethics · Limited Liability Partnership Act, 2008
Under the LLP Act, 2008, which of the following may convert into a limited liability partnership in accordance with the Act and the relevant Schedule?
An unlisted public company may convert into an LLP under the Act, following the Fourth Schedule. The Act covers firms, private companies and unlisted public companies only, so listed companies, proprietorships and co-operative societies are not eligible.
- AA listed public company
- BAn unlisted public companyCorrect
- CA sole proprietorship concern
- DA registered co-operative society
Explanation
The Act provides for conversion of a firm (Second Schedule), a private company (Third Schedule) and an unlisted public company (Fourth Schedule). A listed public company, a sole proprietorship and a co-operative society are not covered by these provisions.
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