BUSINESS & LABOR LAWS (MGT611)

ASSIGNMENT # 01

Due Date: 28th July, 2020 Marks: 20

Read the following cases and answer the questions given at end. (5
Marks each)

a) Sohail, Talha, Umair & Co., a partnership concern is engaged in trading of

cloth. The firm bought a plot of land from Shining Star Limited. After some
time Talha and Umair on their own account bought three more plots of land in
the same locality and made good profits. Sohail on becoming aware of such
profits sued Talha and Umair for his share.
Under the provisions of Partnership Act 1932, explain whether Talha and
Umair are liable to share such profits with Sohail.

b) Obaid, Raheel and Pervez were partners in a firm. On September 1, 2009

Pervez retired from the partnership. The remaining partners continued the
business, with the property of the firm, without final settlement of accounts as
between them and Pervez.
In the light of the Partnership Act, 1932, describe the rights of Pervez, in the
above circumstances.

c) Sameer, Fauzia and Sualat are partners in a firm. Fauzia transferred her interest
in the firm absolutely to her son Adil. In the light of the provisions of
Partnership Act, 1932 would Adil be considered a new partner in the firm?
Also describe the rights and restrictions on Adil in view of such transfer.

d) A, B and C, partners of a firm, admitted D, a minor to the benefits of the firm.

D attained majority on 6th March 2007. He became aware of the fact that he
has been admitted to the benefits of the firm on 16th August 2007. Being
undecided about the situation he preferred to wait for some time before
announcing his decision about joining the firm.
On 27th February 2008, the firm suffered heavy losses due to an unforeseen
event. A, B and C informed D that on account of such losses, his capital in the
firm has been reduced by 40%. Discuss the rights and liabilities of D in the
above situation.