ipa 2 Flashcards

1
Q

expulsion of partner (33)

A

A partner may not be expelled from a firm by a majority of partners except in exercise, in good faith, of powers conferred by contract between the partners.
It is, thus, essential that:
the power of expulsion must have existed in a contract between the partners;
the power has been exercised by a majority of the partners;
and it has been exercised in good faith.

good faith 33(1)
The explusion must be in the interest of the partnership
The partner to be expelled is served with a notice
He is given an opportunity of being heard.

If a partner is otherwise expelled, the expulsion is null and void

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