21 March 2015
Can I mother enter into a partnership with the minor son who's guardian is the father and there are only 2 partners i.e.the mother and the son.In such a case what are the rights of the minor which will be exercised by the guardian in this regard.will he have the rights of a full fledged partner?please mention the relevant case law if possible. Thank you
21 March 2015
As per the partnership Act and Contract Act a minor cannot be a partner in a firm but he can be admitted into the benefits of partnership with the consent of all partners till he attains the age of majority. As such he cannot become the full fledged partner in the firm but he can be admitted into the benefits of partnership that is he may be given a share in net profit of the firm with the consent of all partners.
21 March 2015
As per Section 11 of the Indian Contract Act, 1872 a minor cannot enter into an agreement. However Section 30 of the Partnership Act 1932 provides that with the consent of all the partners for the time being a minor may be admitted to the benefits of Partnership. This provision is based on the rule that a minor cannot be a promisor but he can be a promisee or a beneficiary.
Please refer section 30 of the Partnership Act 1932.
21 March 2015
# A minor can be admitted to the benefits of partnership with the consent of all the existing partners. It should be noted that consent of all the partners is required for a minor to be admitted in a partnership.
#There must be a partnership in existence before a minor can be admitted to its benefits. Thus, a minor cannot form a new partnership but can be admitted in an existing partnership.
#There cannot be a partnership consisting of all minors.
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