Home / Business Tips / Removal or Resignation of Partner from LLP India

Removal or Resignation of Partner from LLP India

Removal or Resignation of Partner from LLP

A Partner in a LLP Registration in India may have to be removed or would like to resign for various reasons. In this article we will see on what grounds a partner is removed or the resigning reasons. And also what rights and liabilities a partner carries.

The following points could be the reasons for removal or resignation of a partner:
  • On death of the Partner
  • On dissolution of the LLP
  • If the Partner is declared to be of unsound mind
  • If the Partner is adjusted as an insolvent or declared as insolvent.
Rights and Liabilities of Partner on Removal or Resignation:
  • Any amount equal to the capital contribution of the former partner actually made.
  • Rights to share in the profits after deducting losses (if any),decided as at the date the Partner is counted not to be a Partner anymore.
  • On removal or resignation or cessation of a Partner in a LLP, whatever liability incurred while the person was a Partner in the LLP shall not be discharged and will continue.
  • Removal of LLP Partner by Majority. When majority of partners want, they cannot remove a partner unless the agreement has such written powers. A Partner can be removed and Form 4 must be filed to effect the removal.
Reach kanakkupillai to Register Your Business at Low Cost!

Email: support@kanakkupillai.com | Phone: +91 7305 345 345 –FREE Consultation for All States in India.

Don’t hesitate to call us/Email us, We are more than happy to help you out!

Check Also

Jockey franchise India – Price/Cost, Eligibility, Requirement & Profit Margin

Jockey franchise India – Price/Cost, Eligibility, Requirement & Profit Margin Do you want to become a …

Leave a Reply

Your email address will not be published. Required fields are marked *