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Atharv Sankliya   17 January 2022

why limit of partners in partnership firm is in company act

why limit of partners in partnership firm is in company act ??


Quick Summary
This discussion clarifies why the limits on the number of partners in a partnership firm are specified within the Companies Act. While a firm is essentially a partnership of multiple individuals, the Companies Act addresses these limits because a firm is considered a type of company. The original question sought to understand why this wasn't covered under the Indian Partnership Act specifically.

 2 Replies

Aryan Raj   18 January 2022

In response to your query,

A company is called a firm when it is a partnership of two or more persons. An organisation is an organized group of people with a particular purpose, such as a business or government department. Corporation is a large company or group of companies authorized to act as a single entity and recognized as such in law.

As a firm is also a company only with multiple partners therefore the limit in partnership in firms is mentioned in the Companies Act.

Regards,

Aryan Raj 

1 Like

Atharv Sankliya   03 February 2022

i am asking that why this is not included in indian partnership act ?

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