Return of premium on premature dissolution (Section 51):
According to Section 51, in the case of dissolution of partnership earlier than the period fixed for it, the partner paying the premium is entitled to the return of the premium of such part thereof as may be reasonable, regard being had to the terms of agreement and to the length of time during which he was a partner, except when the partnership is dissolved:
(1) by the death of one of the partners;
(2) mainly due to the misconduct of the partner paying the premium;
(3) pursuant to an agreement containing no provisions for the return of the premium or any part thereof.
The partner paying the premium gets a proportionate part of the premium where the partnership is dissolved:
(1) Without the fault of either party; or
(2) owing to the fault of both; or
(3) on account of the fault of the partner receiving the premium; or
(4) due to the insolvency of the partner receiving the premium, where the partner paying the premium was unaware of the others embarrassing circumstances at the time of entering into the partnership.
(1) by the death of one of the partners;
(2) mainly due to the misconduct of the partner paying the premium;
(3) pursuant to an agreement containing no provisions for the return of the premium or any part thereof.
The partner paying the premium gets a proportionate part of the premium where the partnership is dissolved:
(1) Without the fault of either party; or
(2) owing to the fault of both; or
(3) on account of the fault of the partner receiving the premium; or
(4) due to the insolvency of the partner receiving the premium, where the partner paying the premium was unaware of the others embarrassing circumstances at the time of entering into the partnership.
No comments:
Post a Comment