Distinguish between the following: 'Partner' and 'designated partner'.
CS Professional · Drafting, Appearances and Pleadings · PYQS · June 2016
Distinguish between the following: 'Partner' and 'designated partner'.
Answer & Explanation:
Partner: As per section 2(q) of the Limited Liability Partnership (LLP) Act, 2008, partner means any person who becomes a partner in LLP in accordance with LLP agreement. As per section 5 of LLP act, any individual or body corporate may be a partner in a LLP, except person of unsound mind, an undischarged insolvent or he has applied for insolvency. Designated Partner: Designated partners means any partner designated as such pursuant to section 7 of the Limited Liability Partnership Act, 2008. As per section 7 every limited liability partnership shall have at least two designated partners who are individuals and at least one of them shall be resident in India. Designated Partners have specific responsibilities. They shall be responsible for the doing of all acts, matters and things as are required to be done by the limited liability partnership (LLP) in respect of compliance of the provisions of the LLP Act including filing of any Document, Return, Statement and the like Report pursuant to the provisions of Limited Liability Partnership Act, 2008. The Designated Partners shall be responsible for the doing of all acts and deeds arising out of LLP Agreement.
Topics: Limited Liability Partnership Act, 2008
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