Act Number: 9

Act Name: The Indian Partnership Act, 1932

Year: 1932

Enactment Date: 1932-04-08

Long Title: An Act to define and amend the Law Relating to Partnership.

Ministry: Ministry of Corporate Affairs

Department:

Section 27: Liability of firm for misapplication by partners.
    Where--
         (a) a partner acting within his apparent authority receives money or property from a third party and misapplies it, or
         (b) a firm in the course of its business receives money or property from a third party, and the money or property is misapplied by any of the partners while it is in the custody of the firm,
the firm is liable to make good the loss.
Scroll to Top