We advise you to write your agreement in clear and not too complicated English, but it must be complete if its role is to do so. Unless the partnership agreement is otherwise required, all partners are equal. They have the same right to accept contracts and the same responsibility to respect them. They share profits and losses. A common disagreement may be who has contributed the most and therefore how the assets should be distributed: to someone who brings valuable skills, to someone who brings money, to someone who works long hours, or to someone who has contacts who bring sales. The most common conflicts in partnership are due to decision-making problems and disputes between partners. The partnership agreement sets conditions for the decision-making process, which may include a voting system or other method of monitoring and balancing between partners. In addition to decision-making procedures, a partnership agreement should include instructions for resolving disputes between partners. This objective is generally achieved by a conciliation clause in the agreement, which aims to provide a means of resolving disputes between partners without judicial intervention. (1) Persons who have formed a partnership are collectively referred to as companies within the meaning of this act and the name under which their activity is carried out is called firm-name. But problems can easily arise if there is no prior written agreement.
(7) No person can be set up as a partner without the agreement of all existing partners. Partners may agree to participate in gains and losses based on their share of ownership, or this division can be allocated to each partner in equal shares, regardless of participation. It is necessary that these conditions be clearly outlined in the partnership agreement in order to avoid conflicts throughout the period of activity. The partnership agreement should also provide for the date on which the profits can be deducted from the transaction. Then there is the problem of co-responsibility. In the absence of an agreement that says something else, there is nothing to prevent a partner from entering into a risky contract in commercial transactions (for example. B, borrow money from a serious source). If this contract fails, he or she and all other partners are liable for the debt in the same way.
It is not uncommon for a bad decision by one partner to lead to the personal bankruptcy of others who had no idea that the risky contract had been concluded. When real estate or hereditary interests are transferred to the ownership of a partnership, they are treated, unless the contrary intent manifests itself, between partners (including representatives of a deceased partner) and between the heirs of a deceased partner and its executors or directors as a personal or mobile estate and not as a real estate or hereditary estate.] If a partner commits the company`s credit for purposes that are clearly not related to the ordinary activities of the business, the business is not bound, unless it is actually specifically authorized by the other partners; However, this section does not affect the personal responsibility of an individual partner. It is perhaps even more important that other partners, particularly more recent or smaller in number, may be excluded from these business decisions. 2. To the extent that, after the death of a partner, the partnership operation continues on behalf of the former company, the continued use of that name or the name of the deceased partner in connection with the latter will not hold its executors or directors liable for any subsequent debts incurred after his death. (2) The High Court or a judge whose . . . . .
F6 [F7 or County Court in England and Wales or a County Court in Northern Ireland] may, at the request of any creditor of a partner, adopt a decision that perceives that partner`s interest in the quality of the company and the benefits associated with the payment of the amount of debt and interest on this decision. , and may, by the same decision or as a result, a beneficiary of that partner`s share of profits (regardless of that: Whether it is already declared or in case