Guidance

Dissolution by Court

A partnership may be dissolved in any of the following cases:

• When a partner has permanent loss of mental clarity.
• When a partner becomes permanently incapable of performing his/her duties as a partner.
• When a partner behaves in a way that adversely affects the partnership's operations.
• When a partner intentionally or persistently violates the partnership's agreement or conducts the activities in a way that prevents the smooth carrying out of the partnership's business by the other partner/s.
• When the partnership is in a loss generating position.
• When there is a merger or division of a general partnership with one or more limited liability companies.
• The Court is of the opinion that it is fair and just to dissolve the partnership.

Copy of the partnership’s Order dissolution is submitted to the Registrar of Companies.