Dissolution of partership firm

1. DISSOLUTION OF PARTNERSHIP FIRM
MEANING: Dissolution of partnership means discontinuance
of relationship between partners.

2. Dissolution without the
interference of the court
Dissolution by the order of
court
Conditions of dissolution of
firm

3. Dissolution without the interference of the
court
Dissolution
by
agreement
Compulsor
y
dissolution
Dissolution on
the happening
of certain events
Dissolution
by Notice
Expiry
of the
period
Death
of
partner
Insolvenc
y of a
partner
Fulfillment of the
object for which
the partner ship
firm was formed

4. Dissolution by the
agreement
When all the partner of the firm agree to
dissolve the partnership firm business, it is
called dissolution by agreement

5. Compulsory
dissolution
There is compulsory dissolution of partnership firm under the following circumstance:
 By the adjudication of all partners or all except one becoming insolvent.
Or
 By the business of the firm becoming unlawful due to the happening of any such
event.

6. Dissolution on the happening of certain
events
On the expiry of the period for which a partner
ship firm was formed
On the insolvency of a partner
On the death of partner
On the fulfillment of the object for which the
partnership firm was formed

7. Dissolution by
Notice
When the duration of the partnership business is not fixed and the partnership
is at will, the firm may be dissolved by any partner, giving notice in writing to all
the other partners of his intention to dissolve the firm.

8. Dissolution by the order of
court
Permanent
incapacity
Continuous
loss
Insanit
y
Just and
equitable
ground
Persistent
disregard of
partnership
agreement by a
partner
Misconduct
Transfer of
interest

9. Insanity
If a partner ( not a sleeping partners has become
of unsound mind, then court may allow dissolution
of firm

10. Permanent
incapacity
If a partner ( not a sleeping partners) has become
permanently incapable of performing of his duties
as partner, then court may allow dissolution of firm

11. Misconduct of partners
When any partner is guilty of any misconduct which is
likely to adversely affect the carrying on business the court
may allow dissolution of firm.

12. Persistent disregard of
partnership agreement by a
partner
When a partner willfully or persistently commits breech
of agreement which regard to matters relating to the
business of the firm , any other partner may apply to
court for dissolution of firm

13. Continuous loss
When a firm is working in continuous
loss, any partner may apply to court
for dissolution of firm.

14. Transfer of interest
When a partner has transferred the whole of his interest
in the firm to a third party then any other partner may
apply to court for dissolution.