Question

what is the liability of partnership firm

Answer 1

Partnerships registered under the Partnership Act, 1932 used to be a very popular form of Business Entity in India due to the simplicity of registration and ease of maintenance. With the introduction of the Limited Liability Partnership (LLP) in India through the Limited Liability Partnership Act, 2008, the prominence of Partnership’s has been replaced by the LLPs. LLPs are easy to register, offer a range of benefits to the promoters and is easy to maintain, making it ideal for many small and medium sized business that would other wise opt to start as a Proprietorship or a Private Limited Company. In this article, we mainly cover the various aspects of LLP vs Partnership in India:

Answer 2

In unlimited partnership, every partner is liable, jointly with all the other partners and also severally, for all acts of the firm done while he is a partner. You can be held personally responsible for another partner's negligence or carelessness.