21 December 2021
I was practising and had an article under my partnership firm. I shifted to employment got placed in a company . once i registered my employment in ssp portal . My COP status became Part time COP. But my article is not able to terminate her articleship. The support is asking me resign from my partnership. I need to hold on to the partnership to make other partner take over the business completly. WHat can be done?
09 July 2024
In your situation, where you have transitioned from practicing as an article under a partnership firm to becoming employed, and your COP (Certificate of Practice) status has shifted to Part-Time COP, it seems there's a conflict arising regarding your continued association with the partnership while your article attempts to terminate her articleship.
Here are steps you could consider:
1. **Consultation with ICAI**: Contact the Institute of Chartered Accountants of India (ICAI) directly to seek guidance on how to manage this transition. Explain your situation clearly, including your employment status, Part-Time COP status, and the issue with your article's termination.
2. **Partnership Agreement Review**: Review the partnership agreement to understand any clauses related to resignation and transfer of ownership. It's essential to ensure that your transition does not violate any contractual obligations.
3. **Communication with Partners**: Discuss the situation openly with your partners. Explain your reasons for wanting to hold onto the partnership temporarily to facilitate a smooth transition of responsibilities. Seek their understanding and support in managing the partnership during this period.
4. **Potential Solutions**: - **Temporary Hold**: If possible, negotiate with your partners to allow you to retain your partnership status temporarily until a suitable arrangement is made for someone else to take over your responsibilities. - **Transfer of Responsibilities**: Facilitate a structured handover of your duties and responsibilities to another partner or a new hire, ensuring continuity in business operations.
5. **Legal and Professional Advice**: If negotiations with your partners do not yield a satisfactory solution, consider seeking legal advice to understand your rights and options under the partnership agreement and relevant laws.
By proactively communicating with all parties involved and seeking appropriate guidance from ICAI and legal advisors, you can navigate this transition period effectively while ensuring compliance with professional and legal standards.
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