to sue for the dissolution of the firm or for the accounts of a dissolved firm or for his share in the assets of a dissolved firm is not affected by non-registration. In short, non-registration does not affect the following rights: i. Suit not exceeding ₹ ii. The rights of firm or partners of a firm having no place of business in India.
iii. The power of an official assignee or receiver to realise the property of an insolvent partner. iv. Suit arising otherwise than out of contract as explained above.
v. The rights of third parties against the firms or any of its partners. vi. Suit by a partner for the dissolution of the firm or for accounts of a dissolved firm or for a share in the assets of a dissolved firm as stated above.
commerce - - . . PM Registration can be effected at any time. All the disabilities automatically disappear as soon as the firm is duly registered.
. Dissolution of Partnership Dissolution of Partnership is different from the dissolution of partnership firm. It is due to the fact that when the relation present between all partners, comes to an end, it is known as dissolution of firm. When any one of the partners become incapacitated, then the partnership comes to an end, but the firm may continue to operate, if new partnership is arranged among the other partners.
a) Dissolution of firm Dissolution of firm means dissolution of partnership. On dissolution of firm, partnership business comes to an end. Its assets are realised and the creditors are paid off. The business cannot be continued after dissolution of partnership firm.
For example A, B and C are partners in a business. If all the three partners decide to dissolve, it is known as “dissolution of the firm”. b) Dissolution of partnership Dissolution of partnership means the termination of the original partnership agreement. A partnership is dissolved by insolvency, retirement, expiry or completion of the term of partnership.
The business will continue after dissolution of partnership. For example: A, B and C are partners