Partnership

Rights of a Minor

1. 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.
2. 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 of the accounts of the firm.
3. Such minor - s share is liable for the acts of the firm, but the minor is not personally liable for any such act.
4. Such minor may not sue the partners for an account or payment of his share of the property or profits of the firm
5. 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.
6. 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 person asserting that fact.
7. Where such person becomes a partner-
1. his rights and liabilities as a minor continue upto 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 the partnership, and
2. his share in the property and profits of the firm shall be the share to which he was entitled as a minor.
8. Where such person elects not to become a partner-
1. his rights and liabilities shall continue to be those of a minor upto the date on which he gives public notice,
2. his share shall not be liable for any acts of the firm done after the date of the notice, and
3. he shall be entitled to sue the partners for his share of the property and profits.