Indian Partnership Act, 1932
30. Minors admitted to the benefits of partnership
- A person who is a minor according to the law to which he is subject may not
be a partner in a firm, but, with the consent of all the partners for the
time being, he may be admitted to the benefits of partnership.
- Such minor has a right to such share of the property and of the profits of
the firm as may be agreed upon, and he may have access to and inspect and
copy any of the accounts of the firm.
- Such minors share is liable for the acts of the firm, but the minor is not
personally liable for any such act.
- Such minor may not sue the partners for an account or payment of his share
of the property or profits of the firm, save when severing his connection
with the firm, and in such case the amount of his share shall be determined by a valuation made as
far as possible in accordance with the rules contained in section 48:
PROVIDED that all the partners acting together or any partner entitled to dissolve
the firm upon notice to other partners may elect in such suit to
dissolve the firm, and thereupon the court shall proceed with the suit as one for dissolution and for
settling accounts between the partners, and the amount of the share of the minor shall be determined
along with the shares of the partners.
- At any time within six months of his attaining majority, or of his
obtaining knowledge that he had been admitted to the benefits of partnership,
whichever date is later, such person may give public notice that he has elected to become or that he has
elected not to become a partner in the firm, and such notice shall determine his position as
regards the firm:
PROVIDED that, if he fails to give such notice, he shall become a partner in
the firm on the expiry of the said six months.
- Where any person has been admitted as a minor to the benefits of
partnership in a firm, the burden of proving the fact that such person had no
knowledge of such admission until a particular date after the expiry of six months of his attaining
majority shall lie on the persons asserting that fact.
- Where such person becomes a partner-
- his rights and liabilities as a minor continue up to the date on which he
becomes a partner, but he also becomes personally liable to third parties for all
acts of the firm done since he was admitted to the benefits of partnership, and
- his share in the property and profits of the firm shall be the share to
which he was entitled as a minor.
- Where such person elects not to become a partner,-
- his rights and liabilities shall continue to be those of a
minor under this section up to the date on which he gives public notice,
- his share shall not be liable for any acts of the firm done
after the date of the notice, and
- he shall be entitled to sue the partners for his share of the property and
profits in accordance with sub-section (4).
- Nothing in sub-sections (7) and (8) shall affect the
provisions of section 28.
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