Distinguish between the following: (d) Agreement among partners of Partnership Firm and Agreement among the members of a Co-operative Society.

The partnership is based on a contract. This contract may be made either orally or in writing or even may be inferred from the course of dealing between the partners. In order to avoid all disputes relating to terms of partnership, it is suggested that a written document containing terms and conditions of partnership be executed between the partners. The deed is executed by all the partners and is drafted as an agreement to carry on certain business in partnership on certain terms and conditions. While drafting partnership deed we should incorporate all terms and conditions that govern a particular partnership business. Partners of any partnership business are normally interested in settling certain terms amongst them before they join hands to carry on business in partnership. A Co-operative Society comes into being when several like-minded persons come together to form an association for mutual benefit. The number of members in a co-operative society is quite large making it impossible for each and every member to take active participation in the management of the affairs of the co-operative society. Accordingly, the decisions in a co-operative society are taken by following a democratic process. An agreement among the members of a co-operative society provides for the eligibility criteria for becoming members of the co-operative society, payment of contribution, categories of membership of the co-operative society, their voting rights and the manner of exercising their votes. The agreement also provides for restrictions on transfer of shares and the transfer of interest on death of a member.