Which of the following is not a true statement regarding minor's admission to partnership in a firm?
A. A minor may be admitted to the benefits of partnership with the consent of majority of partners
B. A minor may be admitted to the benefits of partnership with the consent of all the partners
C. A minor is not personally liable for any act of the firm
D. A minor has a right to such profits as agreed upon
Answer: Option A
Solution (By Examveda Team)
Option A: A minor may be admitted to the benefits of partnership with the consent of majority of partners Explanation in HTML format: According to the Indian Partnership Act, 1932, a minor cannot become a full partner in a firm, but can be admitted to the benefits of partnership.Section 30 of the Act states that a minor may be admitted to the benefits of partnership only with the consent of all the partners, not just the majority.
Hence, Option A is incorrect because it wrongly states that majority consent is sufficient.
Option B is correct because unanimous consent is required.
Option C is correct because a minor is not personally liable for the debts of the firm.
Option D is also correct as the minor is entitled to receive only the share of profits as agreed upon.
Therefore, the correct answer is Option A.
This Question Belongs to Law >> Indian Partnership Act
I think answer is option A if I'm incorrect please give feedback