alleryStart learning →A partner transfers his profit share to another. What is the effect?
AThe transferor is expelled
BRegistrar re-registers it
CThe LLP is dissolved
DLLP continues unaffected
Answer & Solution
Correct answer: D. LLP continues unaffected
Transfer of profit-sharing rights does not by itself cause disassociation of the partner or dissolution of the LLP.
Keep practising II LLP Act 2008 including important Rules
Browse all II LLP Act 2008 including important Rules questions for CA Inter, or explore more Law topics.
Related questions
A retiring partner is entitled to what capital, unless agreed?A pre-incorporation agreement binds the LLP only if what?From which assets are an LLP's liabilities met?Which of these is part of the definition of 'business' under the LLP Act?Before becoming a designated partner, an individual must give what to the LLP?When all partners are bodies corporate, who act as designated partners?What is the position of an LLP regarding a common seal?When does a change in an LLP's registered office take effect?