Multiple choice

Mark the incorrect statement.

  1. A partner can always enter into partnership on behalf of the firm.

  2. A partner can acquire immovable property on firm’s behalf.

  3. A partner can transfer immovable property on firm’s behalf.

  4. A partner can admit any liability in a suit or proceeding against the firm.

  5. None of these
Reveal answer Fill a bubble to check yourself
E Correct answer
Explanation

All the authorities mentioned above fall under the implied authority of a partner. In other words, it can be said that a partner has an authority to act on behalf of the firm.

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