51
Where on adjudication of a partner an insolvent, the firm is not dissolved remains in business
A)
The insolvent partner's estate is liable for the acts of the firm after the date of his insolvency
B)
The firm is liable for the acts of the insolvent partner
C)
Both (A) and (B)
D)
Neither (A) nor (B)
Answer & Solution
Answer: Option
D
52
The scheme as to goodwill of a firm under section 55(1) of the Indian Partnership Act, 1932, can be altered by
A)
Agreement between the partners
B)
Agreement between the buyer of the goodwill and the partners
C)
The court
D)
Either (A) or (B) or (C)
Answer & Solution
Answer: Option
A
53
An agreement in restraint of carrying of similar business as that of the firm between the partner and the buyer of the goodwill, under section 55(3) of the Indian Partnership Act, 1932 shall
A)
Be valid if restriction imposed are absolute
B)
Be valid if the restriction imposed, under the agreement are reasonable, but may not relate to the period or locallirnits
C)
Be invalid
D)
Be valid if relates to period or local limits and the restrictions imposed are reasonable
Answer & Solution
Answer: Option
D
54
Section 36(2) of the Indian Partnership Act, 1932, carves out an exception to
A)
Section 25 of the Indian Contract Act, 1872
B)
Section 26 of the Indian Contract Act, 1872
C)
Section 27 of the Indian Contract Act, 1872
D)
Section 28 of the Indian Contract Act, 1872
Answer & Solution
Answer: Option
C
55
On the dissolution of the partnership
A)
The interest on capital ceases run whereas interest of advances keeping running upto the date of payment
B)
The interest on capital and the interest on advances cease to run
C)
The interest on capital keeps running upto the date of payment whereas interest on ad vances cease to run
D)
The interest on capital as well as on advances keeps running upto the date of payment
Answer & Solution
Answer: Option
A
56
The power to expel a partner conferred under the contract between the partners must be exercised
A)
Bonafide, in good faith and for the benefit of the firm
B)
Bonafide, in good faith and for the benefit of individual partners
C)
Either (A) or (B)
D)
At the instance of one partner
Answer & Solution
Answer: Option
A
57
An agreement in restraint of trade between the partners to be valid must relate to
A)
The period of restraint and be reasonable
B)
The local limits of restraint and be reasonable
C)
Either (A) or (B)
D)
Neither (A) nor (B)
Answer & Solution
Answer: Option
C
58
The continuing guarantee liable to be revoked under section 38 of the Indian Partnership Act, 1932, on the change in the constitution of the firm, must be the one
A)
Given to a firm
B)
Given to a third party in respect of transaction of a firm
C)
Either (A) or (B)
D)
Only (A) and not (B)
Answer & Solution
Answer: Option
C
59
The Supreme Court in Banarasi Dass v. Kaushi Ram, AIR 1958 SC 1165, has held that
A)
Filing of plaint in a suit for dissolution by one partner and service of summons thereof, amounts to notice of intention to dissolve a partnership at will
B)
Filing of a plaint in a suit for dissolution by one partner and service of summons thereof is does not amount to 'notice of intention to dissolve', a partnership at will
C)
Filing of a plaint in a suit for dissolution by one partner and service of summons thereof may amount to notice of intention to dissolve a partnership at will
D)
Either (B) or (C)
Answer & Solution
Answer: Option
B
60
Section 26 of the Indian Partnership Act, 1932, provides for
A)
Liability of the firm for the wrongful acts of a partner
B)
Liability of a partner for the acts of the firm
C)
Liability of firm for misapplication by partners
D)
Liability of a partner for the wrongful acts and misapplications
Answer & Solution
Answer: Option
A
