14 November 2013
Can a partnership deed with 5 partners, where partner no.1 with (fifty) 50 % stake in the f the registered firm having only land as asset and to be developed, which is having the following clause quoted, be treated as will, which will be detrimental to the interest of other legal heirs.? "X" has three brothers and one sister. Quote " In case of incapacity or death of partner 1, her son "X" will be admitted as a full-fledged partner and he will enjoy all rights and priveleges that are given to partner 1 by this deed till that date and that the same profit sharing ratio of 50 %"
18 November 2013
A will is a document signed by the person who makes the testament with two witnesses. A partnership deed cannot have a "will like " clause as the same only an agreement amongst the partners. Therefore the clause has limited meaning i.e. the "X" will be a nominee after the event of incapacitation or death and if there is no will of this person, it will held that the " X " is a nominee and should share the same with other legal heirs.
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